FATF
FATF warns stablecoins now account for the majority of illicit crypto activity, with peer-to-peer transfers enabling sanctions evasion and money laundering. The report signals a need for stronger AML controls and closer scrutiny of off-ramps and decentralized rails.
On Feb. 21, 2026 the FATF adopted new digital-asset risk assessments, kept Iran on its blacklist and signalled tougher oversight of stablecoins and offshore crypto service providers. The move raises pressure on jurisdictions and businesses to tighten AML/CFT controls.
The FATF updated its 2019 Guidance in October 2021 to strengthen the risk-based approach countries must adopt for assessing and mitigating money laundering and terrorist financing risks in cryptocurrencies. This has significant implications for crypto users and businesses worldwide.
The FATF has updated its standards to strengthen the risk-based approach by focusing more on proportionality of measures and urging countries to support innovation in the financial sector, including crypto. This change aims to balance regulation with growth, benefiting crypto users and businesses alike.