BSA/AML: Crypto and Virtual Currency

Date:

Sep 4, 2024

Crypto and other virtual currencies are becoming more and more common. Understanding the risks involved and the regulatory expectations are an essential piece of your overall BSA/AML compliance program.

Crypto and other virtual currencies are inherently higher risk. Being higher risk, however, doesn’t necessarily mean that the activity itself or the customer relationship, as a whole, are bad.

There’s just more risk than there may be with other types of activity or customer relationships you may have. These do directly impact your BSA/AML compliance program and therefore it’s important that before you get into a relationship with a customer that is in the crypto/virtual industry, you need to make sure that you've done your due diligence to understand the customer, their business, their activity, etc.