Authored by Or Lokay Cohen via CoinTelegraph.com,
The G-20 Summit in Japan brought 20 finance ministers and central bank governors to officially commit to implementing the guidelines of the Financial Action Task Force (FATF). The lack of regulation in the crypto markets can be fertile ground for money laundering, terrorist financing, tax evasion, etc. Therefore, it is not surprising why the FATF guidelines are calling for the end of anonymity in the crypto market.
image courtesy of CoinTelegraph
In fact, after the G-20’s determination to comply with the FATF standards, we are soon going to see their implementation around the world, and crypto users will be required to put aside their privacy — and for some, even their ideology — in order to use services under the control of the regulator.White vs. black crypto markets
Pretty soon, what we are going to get is two separate groups of crypto addresses: clean crypto and black-market crypto. To get into the clean group, you must declare your crypto addresses, account numbers, location information, beneficiary’s name, etc. If you choose not to disclose this information, you will be automatically assigned to the black-market group.
The standards require crypto exchanges to perform extensive Know Your Client (KYC) and Anti-Money Laundering (AML) procedures. Each address will be identified and linked to a specific person, and there won't be any anonymous addresses coming in and out of the exchanges. This might be the end of the crypto world as we know it.
While many users will mourn the loss of their privacy, the bright side of these standards is the ability to integrate the crypto market into traditional financial markets, which can lead to a significant increase in usage and the ability to cash out crypto to fiat within the banking system.
However, because of the anarchist nature of some hodlers, there will be some who choose to retain their privacy and to be a pa...