The Financial Intelligence Unit (FIU) has reported that commercial banks around the country are more prone to money laundering than crypto companies in mexico.
According to the FIU, the report was cited based on the activities of the G7 banking group, which includes Inbursa, BBVA, Citibanamex and some others.
The Financial Intelligence Unit of Mexico noted that they were able to conclude because these G7 banks carry out illegal transactions than most crypto companies in Mexico.
Regulators around the world are always frowning at Bitcoin as the easy route to conduct illicit money transactions. Furthermore, digital assets platforms have always been looked at as the home of illegal money laundering transactions by regulators across the world, which has prompted restrictions in some few countries.
G7 banking group controls 80% of Mexico’s transactions
To tackle this menace of money laundering via digital assets platforms, authorities have been making it compulsory for the crypto companies in Mexico to exert specific anti-money laundering requirements on their clients. It should be noted that the G7 banking group accounts for almost 80% of the banking transactions that take place around Mexico.
With the prevalence of these activities in the country, the National Risk Assessment that was carried out did not show figures of losses generated from laundering activities carried out in banks across Mexico.
Crypto companies in Mexico ordered to report transactions of more than $2,500
Crypto companies in Mexico are required by law to report transactions that exceed $2,500 to the financial authorities as outlined in the anti-money laundering guideline in the country. However, the authorities have told the crypto companies to report any account that carries out a $2,500 transaction within the span of six months.
According to the new law that was enacted in 2019, new crypto companies are to pay a one time fee of $35,000 and make a profit of nothing less than $100,000 every year to keep operating in the country. This move specifically sent the majority of the digital assets firm in the country packing.