One of the main troubles with crypto is that it is being used as a tool for money laundering and tax evasion. According to the Internal Revenue Services, these are the two of the most common crypto crimes.
In an attempt to tackle the issue, the Joint Chiefs of Global Tax Enforcement was formed by the United States, Canada, Australia, United Kingdom and the Netherlands. According to Johanne Carbonneau, the director general of Canada’s Revenue Agency,
“The formation of the JS demonstrates the serious commitment of governments around the globe in enhancing international cooperation in fighting serious international tax and financial crimes, money laundering, and cybercrime through the use of cryptocurrencies.”
The Internal Revenue added to the statement,
“We cannot continue to operate in the same ways we have in the past, siloing our information from the rest of the world while organized criminals and tax cheats manipulate the system and exploit vulnerabilities for their personal gain.”
The alliance was formed in October 2017 at a forum on tax and crime. In addition to the five largest countries mentioned, 35 smaller countries have also jointed to coordinate economic policies.