- This rule requires service providers to share customer data
- The FATF believes that in this way it will be possible to solve the problem of tax evaders
- Block members are expected to present a draft global regulatory framework for cryptoassets in June
On Saturday, May 13, a meeting of representatives of the G7 (G7) took place in Niigata (Japan). Among other things, the parties discussed the global implementation of the “Travel Rule” (Transfer Control Rules) in relation to cryptocurrency.
Japanese Prime Minister Fumio Kishida said that the participants of the summit supported the tightening of regulation of the digital asset market. The new regulatory framework will be based primarily on the FSB and IMF recommendations presented earlier this year.
Also representatives of the bloc expressed their support implementation of the “Travel Rule”:
“We applaud the FATF’s initiative to speed up the implementation of VA standards and regulatory requirements, including the Transfer Control Rules, as well as its risk prevention work, including DeFi with peer-to-peer platforms.”
Recall that the “Travel Rule” requires service providers to exchange information about participants in transactions worth more than $3,000. In theory, this will prevent traders from using “gaps” in the tax laws of individual jurisdictions to hide their income.
The meeting in Niigata precedes the annual G7 summit. It will be held in Japan from May 19 to 21. As expected, in June, the block participants will present a draft global regulatory framework for the field of crypto assets.