Blockchains and cryptocurrencies, open banking, virtual assets, and artificial intelligence have become the buzzword of this decade. This book focuses on these 'disruptive' financial technologies that provide alternatives to the traditional financial services typically offered by regulated financial institutions. Financial technologies are characterized by the innovative ways in which they initiate, support or extend traditional financial services or offer alternative financial pathways and products. However, these financial technologies also pose money laundering and terrorist and proliferation financing as well as cyber security risks that require mitigation. This edited volume addresses a range of regulatory and enforcement challenges related to financial technology and financial crime. The book responds to the United Nations' Sustainable Development Goals, in particular in relation to economic development, employment, national security, law enforcement and social well-being. Fostering responsible financial innovation promotes long-term economic growth, inclusion, and improved living standards. This book explores how to promote financial innovation while mitigating risks in a way that ensures financial prosperity and social inclusion.

Mobile Money is a booming industry in an increasing number of countries worldwide. The project results from increased demand for guidance and technical assistance from governments after the 2008 publication of an exploratory paper, Integrity in Mobile Phone Financial Services, which discussed mobile money and the application of international anti-money laundering (AML) and combating the financing of terrorism (CFT) standards. For most, how to craft a regulatory regime that expands access to financial services to the poor through the development of mobile phone financial services, but compliant with AML/CFT standards remains elusive. Specific AML/CFT regulations related to mobile money have not been issued in many jurisdictions, mainly due to the lack of awareness of the risks these services can pose if the right controls are not in place. Because the international standards for AML/CFT, the Financial Action Task Force s 40 + 9 Recommendations were designed and issued well before mobile money technology and business models became prevalent, even developed countries have begun to face challenges with their regulation. The project team aims to provide practical guidance to jurisdictions and the Industry on how to draft regulations and internal guidelines that allow them to comply with AML/CFT standards with enough flexibility for mobile money to thrive. Specifically, the paper (1) takes stock of new AML/CFT regulations and practices relevant to Mobile money, (2) design guidelines for drafting AML/CFT regulations that cover mobile money and (3) propose examples of best practices for the Industry to include AML/CFT in their own business model."