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Crypto_AML_Risk_Level

Assess the overall country-level Anti-Money Laundering / Counter-Terrorist Financing (AML/CFT) risk specifically associated with cryptocurrency activities, considering factors like regulatory framework, enforcement effectiveness, volume of illicit transactions, and international assessments.

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Possible Values

Status values that can be assigned to this topic

Value Definition Order
Low The jurisdiction demonstrates a strong regulatory framework for crypto AML/CFT aligned with international standards (e.g., FATF), effective supervision and enforcement over VASPs, and relatively low levels of detected illicit crypto activity compared to the overall financial system volume. 0
Medium The jurisdiction may have existing or developing crypto AML/CFT regulations but faces challenges. This could include gaps in the regulatory scope (e.g., DeFi, P2P), inconsistencies in supervision or enforcement, noticeable levels of illicit crypto activity, or identified strategic deficiencies (e.g., FATF Increased Monitoring). 1
High Significant AML/CFT risks are associated with crypto activities. This often indicates weak or absent specific regulations for crypto, ineffective supervision/enforcement, substantial reported illicit use (e.g., major hacks, sanctions evasion, darknet market links), or severe international findings (e.g., FATF High-Risk Jurisdiction). 2
Unclear Insufficient reliable information is available to assess the specific AML/CFT risk level associated with cryptocurrency activities within the jurisdiction. 3

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