Crypto Forensics Startup Elliptic to Urge Congress For Tougher AML Enforcement of Privacy Coins
Elliptic, a crypto analytic firm is set on recommending the US Congress demand tougher anti-money laundering (AML) rules for exchanges allowing of the trading of privacy coins. The firm is set to lay down recommendations at a US Congressional hearing that will discuss how cryptos are being utilized to facilitate human trafficking, CoinDesk reports.
On Wednesday the Human Rights Commission will attest as to how new technology has impacted the Trafficking Victims Protection Act to identify the new threats which should be addressed. One of the people who is set testify during the hearing is Elliptic head of policy Liat Shetret.
Tom Robinson Elliptic co-founder has revealed that the House Commission will look at how cryptocurrency is used on the dark web.
Shetret will produce to the House commission how the present tools can be used by the law enforcement agencies to keep track of the illicit cryptocurrency transactions. He also says that the US should be at the forefront in setting the pace for other countries in the creation of fresh regulations. He also stated that the FATF should be supported in its recommendations which can be used in the world.
A key recommendation that Shetret is set to give is that exchanges dealing with privacy coins have different set of tougher AML conditions.
According to Robinson past testimonies regarding human trafficking have been critical in the role played by cryptocurrencies leading to recommendations that Congress should have tougher rules in place to oversee the industry. He continued to explain that the current laws have been in place for the last twenty years and need updated, and what he intends to do is to show that the advent of analyzing blockchain transactions has led to a reduction of illegal utilization of the cryptos.
Shetret explained that while various types of crypto transactions are traceable, it is hard to trace privacy coins therefore it is important that the Congress and other regulators come up with new guidelines that will help exchanges as well as banks for dealing with privacy coins as well as people trading them.
Shetret also explained that the regulators should come with AML rules with lack of traceability in mind.