Laws against money laundering were created to use against organized crime during the period of Prohibition in the United States during the 1930s. Organized crime received a major boost from Prohibition and a large source of new funds that were obtained from illegal sales of alcohol. The successful prosecution of Al Capone on tax evasion brought in a new emphasis by the state and law enforcement agencies to track and confiscate money, but existing laws against tax evasion could not be used once gangsters started paying their taxes.
“Always follow the money” has been sound advice in law enforcement and political circles for decades. Nevertheless, tracking the flows of illicit funds generated by drug trafficking and organized crime and analyzing the magnitude and the extent to which these are laundered through the world’s financial systems remain daunting tasks.
Can Digital ID come to the rescue?
This episode covers the intersections of Digital ID, AML and Open Banking.
Some of the key questions answered are:
- What’s the global impact of money laundering today?
- How can Digital ID help prevent illicit financial flows?
- How can technology (e.g., device fingerprinting) make anti-money laundering and counter terrorist financing efforts faster, cheaper and more efficient?
- What is the Financial Action Task Force’s (FATF) Digital ID guidance?
- How can you layer multiple sources of identity (outside of government sources) to enhance Identification Assurance?
- How can you prevent money laundering through stronger Legal Entity Identity verifications?
- Can Open Banking succeed without Digital Identity? Are open banking and digital identity the same thing?
- What are some of the key Open Banking standards bodies that are active today?
- Does Open Banking make money laundering easier or more difficult?
Eugenio (Gene) is an industry go-to person in the fight against proceeds of crime, corruption and terrorism (AML/ATF/ABC) within the investments, banking and insurance industries.
Gene is enjoying the latest opportunities coming forward with Digital Identity, Open Banking(CDF), Virtual Assets and the variety of innovations that FinTechs are offering.