FATF Calls for Tougher Global Crypto Rules Amid $2.4B in Thefts

The Financial Action Task Force (FATF) has issued updated guidelines demanding stricter global regulations to combat illicit finance risks in VIRTUAL assets. The Paris-based watchdog emphasized the urgent need for worldwide implementation of anti-money laundering (AML) and counter-terrorist financing (CFT) measures.

Despite progress since 2024, FATF's sixth targeted update reveals significant gaps in crypto regulation across jurisdictions. Only 40 of 138 assessed countries currently comply with FATF standards, while offshore virtual asset service providers (VASPs) continue to pose challenges. The report highlights licensing and registration as critical tools for risk mitigation.

With 99 jurisdictions adopting or implementing travel rules, FATF released new best practices for cross-border payment transparency. "The Travel Rule Supervision report provides jurisdictions with frameworks to strengthen oversight," the agency stated. This MOVE comes as crypto scams surge, with $2.4 billion stolen globally in 2025 alone.