Japan: 170 Money Laundering Cases Involve Cryptocurrencies

Cryptocurrency is certainly a fruitful investment, like the Winklevoss twins who earned $ 1 billion thanks to Bitcoin. But it can also become a tool to facilitate money laundering, even terrorist financing, and this has just been proven in Japan.

Japan records 170 cases involving cryptocurrencies

Today, it is indeed allowed to invest in Bitcoin, Ethereum or others while remaining in a semi-anonymity, a freedom large enough for the "criminals" who did not wait to enjoy. If cryptocurrencies were previously associated with drug and child pornography cases, they are "in spite of themselves" contributing to money laundering cases in Japan.

In the space of six months (since April 2017), the Japanese police (NPA) has indeed registered no less than 170 cases of money laundering, all related to digital currency transactions. These illicit transactions have been reported by various foreign exchange dealers based in Japan. Indeed, a revised law last April requires these operators to report to the police in case of suspicious cryptocurrency transactions, and most of them have done so.

Measures will be taken

The National Police Agency, however, does not intend to sit idly by for money laundering cases, as one official explains. The latter states that they want to take countermeasures by working with the ministries, the economic operators, as well as the agencies concerned.

Meanwhile, the record remains heavy with a total of 1,178,112 cases suspected by the police, of which 16.2% were related to organized crime. In 6 months, the police arrested more than 230 people.

Other countries are worried

Cryptocurrency offers new opportunities for gangsters and cybercriminals, a worrying situation for many countries. In addition to Japan, Australia is also vigilant as the country's authorities are integrating bitcoins and others into their current AML / CFT regulations.

The Malaysian authorities are also considering taking the same steps, according to the governor of Malaysia's Bank Negara. The latter explains that they hope to get out of the cryptocurrency guidelines before the end of the year, before adding that this will particularly concern the fight against money laundering and the financing of terrorism.