Azerbaijan Steps Up Efforts to Combat Cryptocurrency Money Laundering Risks
In a bid to enhance its knowledge on money laundering and terrorism financing risks related to virtual assets, Azerbaijani banks and investment companies have joined forces with the country’s Financial Monitoring Service (Financial Intelligence Unit) to host a second training course.
Training Course Objectives
The two-day event brought together 32 representatives of banks and investment companies, including those from the FIU, to learn about key concepts related to virtual assets and service providers. The training program aimed to:
- Provide a comprehensive overview of digital and virtual assets, blockchain technologies, cryptocurrencies, wallets, tokens, and international standards
- Equip reporting entities with the necessary skills to detect suspicious transactions involving illegally sourced proceeds from online platforms
- Offer insights into customer due diligence for transactions in virtual currencies or involving other types of virtual assets
Key Topics Covered
The training program covered a range of key topics, including:
- Digital and virtual assets
- Blockchain technologies
- Cryptocurrencies
- Wallets
- Tokens
- International standards and European control requirements
Importance of Customer Due Diligence
Participants gained insights into the importance of customer due diligence for transactions in virtual currencies or involving other types of virtual assets. This is a crucial step in preventing cryptocurrency-related crimes, such as money laundering.
Project Background
The training course was organized under the project “Strengthening Anti-Money Laundering and Asset Recovery in Azerbaijan”, which is funded by the European Union and the Council of Europe, and implemented by the Council of Europe as part of its Partnership for Good Governance II. This initiative aims to bolster Azerbaijan’s efforts to combat money laundering threats related to virtual assets.
Conclusion
By hosting this training course, Azerbaijani banks and investment companies are taking a proactive approach to combating cryptocurrency-related money laundering risks. The country is strengthening its knowledge and skills in detecting suspicious transactions involving illegally sourced proceeds from online platforms, ultimately contributing to a safer financial environment.