Work

Money laundering risks of cryptocurrencies: Towards coordinated regulatory and technological strategies

Year: 2025

Type: article

Abstract: This policy paper reviews the evolution of research from 2016 to 2024 on the role of digital assets in illicit financial flows and evaluates the effectiveness of existing detection and prevention strategies. It highlights two central policy imperatives for Latin America: (i) fostering regional cooperation among central banks to harmonize anti-money-laundering standards and address regulatory arbitrage, and (ii) integrating supervisory technologies (SupTech and RegTech) into compliance frameworks to improve detection capacity. The paper concludes that combining technological innovation with coordinated regional regulation is essential to safeguard financial integrity in the digital-asset era.

Source: Latin American Journal of Central Banking

Authors: Jairo Dote-Pardo, María Teresa Espinosa-Jaramillo

Institutions: Universidad Católica de Temuco, Universidad de las Fuerzas Armadas ESPE

Language: English

Topic: Crime, Illicit Activities, and Governance

Subfield: Sociology and Political Science

Field: Social Sciences

Domain: Social Sciences

SDGs: Partnerships for the goals, Peace, justice, and strong institutions, Industry, innovation and infrastructure

Open Access status: gold

Estimated APC paid: $1,700

OpenAlex ID: W4415614615

FWCI: 7.222

Cites: 34

Cited by: 4

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