Russia's FATF Rating Downgraded: Crypto Regulation Woes In a blow to Moscow, the Financial Action Task Force (FATF) has downgraded
Russia's compliance rating. The reason?
Insufficient regulation of virtual assets and cryptocurrencies.
The news was confirmed by German Neglyad, Deputy Head of anti-money-laundering regulator Rosfinmonitoring, at a plenary meeting on February 23, as reported by Vedomosti.
The downgrade came after an analysis by the Eurasian Group on Combating Money Laundering and Terrorism Financing (EAG), an affiliate of FATF. Their assessments were approved internationally.
It's not just about reputation; there are practical implications too. Russia's rating slipped from "compliant" to "partially compliant," highlighting a
weakness in crypto regulation.
Neglyad agrees that action is needed, stating that
cryptocurrency circulation must be regulated. He also emphasizes the importance of monitoring
crypto exchanges and aligning with domestic financial organizations.
