Veriff
KYC news

NCA seizes cryptoassets worth £27m in AML crackdown

By seizing £27m in cryptoassets in 2021-22, it’s clear that the UK’s criminal and regulatory authorities are gaining a deeper understanding of cryptoassets and are developing an appetite to take enforcement action against stolen or laundered cryptoassets.

August 9th, 2022

Share

Share

Love this blog? Why not share it with the world?

The National Crime Agency’s (NCA) annual report has revealed that the enforcement agency seized £27m in cryptoassets during the last year. 

In their report, the NCA linked cryptocurrencies to potential money laundering. In doing so, the agency highlighted the Russian invasion of Ukraine as a particular cause for concern in relation to the illegal laundering of cryptoassets.

Robust system still not in place

Much of the government’s legal authority over digital currency is tied up with existing anti-money laundering regulations (AMLs). This is because there is still not a robust regulatory system for cryptoassets in place in the UK.

That said, signs of increased institutional regulation are now starting to emerge globally. This is particularly true in the case of the EU, which agreed on a landmark law governing cryptoassets in July.

While the UK is yet to deliver its own regulatory system despite repeated promises, those in the sector hope that the British crime agency’s increased action in seizing digital assets suggests the government is starting to catch up to the technology and the tactics fraudsters are currently using.

After all, by seizing £27m in cryptoassets in 2021-22, it’s clear that the UK’s criminal and regulatory authorities are gaining a deeper understanding of cryptoassets and are developing an appetite to take enforcement action against stolen or laundered cryptoassets.

On top of this, in July, the Treasury Committee announced an inquiry into the role of crypto in the UK. The inquiry’s goal is to explore the opportunities cryptoassets provide to the economy, whilst also determining the risks.

“Cryptoassets have the potential to bring new and innovative changes to the UK financial system, the economy and broader society,” said MP Mel Stride, chair of the Treasury Committee.

“However, there are also significant concerns around their use to launder funds, purchase illegal products, and evade international sanctions.”

Ensure AML and KYC compliance with Veriff

As KYC and AML regulations around the world become more advanced and begin to target cryptoassets specifically, companies in the crypto space must ensure they remain compliant.

Thankfully, our crypto identity verification solution reduces fraud loss and satisfies FINRA, SEC, and GDPR requirements. It also enforces AMLD5 guidelines and makes it easy for honest users to access their crypto.

To discover how our crypto identity verification solution can help your business, talk to our experts today and arrange a personalized demo.

Stay up to date on Veriff news, product updates, and more

Veriff will only use the information you provide to share blog updates. You can unsubscribe any time. For more details, check out our privacy policy.

Related articles

$100m in NFTs stolen via scams in the past year: how can collectors stay safe?

KYC news

$100m in NFTs stolen via scams in the past year: how can collectors stay safe?

Estimates suggest that cybercriminals have stolen more than $100 million worth of non-fungible tokens (NFTs) within the past year. Added to this, criminals have also indulged in other NFT-related scams, such as the use of digital asset mixers in NFT money laundering. As such, collectors need to take proactive measures to keep their assets secure.

Crypto criminals laundered more than $500 million via cross-chain bridges

KYC news

Crypto criminals laundered more than $500 million via cross-chain bridges

Cross-chain bridges can hold hundreds of millions of dollars of assets in escrow. Plus, because they multiply their possible vectors of attack by operating across two or more blockchains, they become prime targets for hackers.

What the UK’s economic crime bills mean for the fight against money laundering

KYC news

What the UK’s economic crime bills mean for the fight against money laundering

The Economic Crime (Transparency and Enforcement) Act focuses on property ownership. At its core, it recognizes that layers of secrecy and foreign-owned companies allow individuals to bypass sanctions by hiding the true ownership of property in the UK.