Many within the cryptofinance industry have been patiently waiting for regulatory oversight to deliver the clarity required for institutional adoption. Recent updates by the Financial Action Task Force (FATF), which issues guidelines for 200 countries and territories, attempts to apply the same rules and regulations required of traditional finance to the world of virtual currencies.

Yaya Fanusie's background as an intelligence analyst at the CIA, and research on the national security implications of cryptocurrencies, provide valuable insight into the necessity of regulation in the space to mitigate the risk of bad actors. Yaya discusses the history and evolution of “Know Your Customer” and where he believes the industry is heading as it faces policymakers who attempt to regulate such rapid technological change.

Topics covered in this episode:

• Yaya’s background in the CIA and how he became interested in bitcoin
• Bitcoin from a national security perspective
• How terrorist organizations leverage cryptocurrencies for funding
• The evolution of AML/KYC and complicance regulation in the financial sector
• The cost of AML/KYC on business and society
• Trying to regulate rapid technological change
• Privacy in communication vs. Privacy in payments
• The travel rule and how it affects cryptofinancial companies
• Cryptocurrencies over the next decade

Episode links:

• Yaya Fanusie's website
• Yaya Fanusie on Twitter
• FinCEN’s Regulations to Certain Business Models Involving Convertible Virtual Currencies
• Foundation for Defense of Democracies (FDD) Podcast
• Stronger AML Enforcement Might Actually Save Crypto (FDD)
• Crypto Rogues (FDD)
• Anti-money laundering and counter terrorist financing (European Commission)
• Cryptocurrency AML Strategies
• KYC in Stablecoins (Bits on Blocks)
• Rhythm of Wisdom Podcast

Sponsors:

• Pepo: Meet the people shaping the crypto movement - https://pepo.com/epicenter

This episode is hosted by Sebastien Couture & Brian Fabian Crain. Show notes and listening options: epicenter.tv/324