TL;DR Breakdown
- Bitcoin ATM operators unite to create CCC to end crypto money laundery.
- CCC to ensure BTM operators enforce KYC, AML checks.
- Bitcoin ATM continues to garner traction in the US.
Bitcoin ATM operators in the United States of America have come together to create an association through which they can collectively combat money laundry.
Other Bitcoin ATM operators partnered with Coinsource, a leading crypto ATM firm to launch the Cryptocurrency Compliance Cooperative (CCC), aimed at ensuring crypto ATM companies comply with regulatory standards.
Beyond crypto ATM operators, other blockchain firms like analytics providers, Chainalysis, Elliptics also are part of the newly launched CCC.
The CCC now pushes for other businesses in the crypto industry, regulators and financial institutions to all join in its fight against combating crypto crimes and ending crypto money laundry.
Bitcoin ATM operators to enforce KYC, AML checks
The major target for the CCC as it launches operation is to ensure Know Your Customer (KYC) and Anti-Money Laundering (AML) compliance. Most BTM operators have relaxed KYC checks.
Coinsource head of compliance Bo Oney said several Bitcoin ATM operators feel that merely asking for a cell phone number is enough due diligence to absolve them of their mandated KYC requirement.
He noted that such lax provide a haven for bad actors who take advantage of ATMs for illicit activities. He noted that the CCC would bolster regulatory compliance for benefit of all operators and users alike.
Bo called for input and cooperation from stakeholders in the crypto space to ensure the cash-to-crypto space as safe as possible for consumers.
Seth Sattler, director of compliance for DigitalMint and a foremost member of the CCC cases of Bitcoin ATM illicit use are properly documented by law enforcement agencies.
He queried Bitcoin ATM operators for not doing anything to ensure a safe crypto space beyond KYC and AML protocols. Seth also faulted players in cash-to-crypto industry for always turning blind eyes to bad actors by simply applying the bare minimum customer protections, which in many cases allow for completely anonymous transactions.
The business of Bitcoin ATMs has continued to gain ground in the crypto industry. Data from BTM tracker reveals that there are currently more than 42,000 BTMs in the United States.
This collaborative effort by operators and other players in the crypto space would no doubt yield results in ensuring a clean and safe crypto space.
