FATF postpones its new regulation on Bitcoin, DeFi and service providers

The Financial Action Task Force (FATF), reported on Friday, June 25 that it will complete in October the study on its new regulatory standards for bitcoin, cryptocurrencies and digital asset service providers.

The intergovernmental organization created to develop anti-money laundering policies had announced that the new guidelines would be updated in June. However, after concluding his plenary session, he said that rescheduled for four months, the update scheduled for June.

Regarding what may have caused the agency to delay its new guidelines, Siân Jones, senior partner at XReg Consulting told CoinDesk that “there probably wasn’t enough time to process and deliberate on the volume of responses they received, since the consultation [pública] it closed at the end of April.”

In March, when the Group said it was working to update its guidance, concern immediately arose in the cryptocurrency industry. Above all, by service providers that allow P2P exchanges.

Many of the changes that the FATF has been considering ” are problematic for innovation because they violate the privacy of Bitcoin users,” as Peter Van Valkenburgh, director of Research at Coin Center, an organization that advocates for users ‘ rights to open blockchain networks, pointed out.

As we report in CriptoNoticias, the FATF guidelines they seek, among other things, to block cryptocurrency withdrawals to private wallets. That is, Bitcoin transactions are only made between highly limited and legally regulated exchanges or services. In this way, the organization aims to control Bitcoin by attacking its essence, as this medium published in an editorial article.

The fact that FATF has decided to defer its guidelines suggests that the body could reconsider moving forward on a new policy that are inappropriate for people who wish to retain their privacy when interacting with these networks, as Van Valkenburgh added.

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