The FATF (Financial Action Task Force) has revealed updated guidelines that would require cryptocurrency and digital asset exchanges—and potentially independent business owners and crypto holders—to share sensitive customer information as VASPs (Virtual Asset Service Providers), compromising user privacy and restricting crypto market access.
The Incoming Deluge
Regulations have value. In a private business they are boundaries and expectations set by the owner, and adhered to voluntarily by those that utilize their service. Management-imposed regulations in a private brokerage firm can keep irresponsible practices such as selling heavily margined stocks and other credit scams to naïve, desperate, and gullible investors to a minimum, for example. However, when regulations move beyond the realm of private property, and into the field of force and coercion—applied to all individuals regardless of property or individual self-ownership—the regulations then become immoral and violent.
The potential enforcement of updated crypto guidelines from the FATF has far-reaching implications for the privacy markets worldwide, and is being undertaken ostensibly to combat terrorism, money laundering, and other related cyber-crimes. For those abreast of the current world situation, where the very same G20 nations that would be enforcing VASP guidelines are waging endless war, inflating currencies, trafficking drugs and humans, and destroying whole countries and economies, the irony here is a little hard to shake. It seems a whole new influx of laws are coming, and how the market handles this new deluge will be very telling.
The Soft Power Sway of ‘Guidelines’
What’s interesting about these new FATF guidelines is that, in and of themselves,