According to Odaily, the Swiss Financial Market Supervisory Authority (FINMA) has identified digital assets as a high-risk area for money laundering in its latest risk monitoring report. The report highlights the vulnerabilities of digital assets, noting their use in financial crimes such as sanction evasion. It underscores the importance of robust regulatory oversight to mitigate these risks.
The report points out that cryptocurrencies, particularly stablecoins, are increasingly associated with money laundering and other illegal activities, including sanction evasion and darknet transactions. This trend has heightened concerns among financial regulators. FINMA stated that it has implemented measures targeting institutions to reduce the money laundering risks associated with digital assets.
Swiss financial intermediaries offering crypto-related services are now under stricter scrutiny to manage these risks. FINMA added that inadequate risk mitigation in this sector could endanger individual institutions and pose reputational risks to the entire Swiss financial industry.