Russia: Crypto to fiat transactions will be monitored by AML body

Deputy for Russian AML, Herman Neglyad, announced that his organisation will be in charge of monitoring crypto transactions to fiat currency

According to local Russian news site, Regnum, Rosfinmonitoring which is the AML body in Russia will be responsible for monitoring any transactions that involve crypto to fiat.

The AML body is already receiving support and co-operation from banks in Russia.

The deputy for Rosfinmonitoring, Herman Neglyand, said:

“Banks have already begun to pay attention to exchange operations, that is, when they see that an operation has come after the exchange of virtual assets for hard currency, they have already begun to evaluate them and actually inform us about these operations.”

Rosfinmonitoring also added that the organisation will be working hand in hand with Russia’s central bank by introducing a separate code that will identify groups undertaking suspicious transactions, “to further orient traditional financial institutions to this problem.”

The procedure to monitor cryptocurrencies comes after Russian president, Vladimir Putin, showed his concern over illegal activities happening through digital assets and therefore it warrants constant monitoring.

Russia has been proactive in trying to regulate cryptocurrencies, with harsh penalties being proposed for those who do not disclose their crypto holdings over a certain amount, late last year.

Regnum also reported that Neglyad’s stance comes in preparation for a meeting to be held by the Russian government which may introduce new crypto regulations.