The United Arab Emirates' Financial Services Regulatory Authority (FSRA) has amended its anti-money laundering (AML) and sanctions policies. Within the Financial Action Task Force's (FATF) Travel Rule, the amendments expressly target digital assets.
This modification affects approved firms as well as designated non-financial enterprises and professions. Ali Jamal, CEO of Cryptos Consultancy, emphasizes the changes' emphasis on improving transparency and conformity within the UAE's regulatory environment. This attempts to combat money laundering, terrorism financing, and proliferation finance by imposing targeted financial sanctions.
The amendment clearly defines digital assets as an established payment method. It strengthens the application of the FATF Travel Rule to digital assets inside the AML Rulebook.
According to a PwC analysis from December 2023, the UAE is a leader in adopting crypto legislation. The government has a crypto regulatory framework, and AML standards for travel requirements, and is finalizing stablecoin legislation.
