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Walking Into Webs: AML and the Metaverse
As the famous and often cited Shakespeare quote goes, “What’s in a name…?” A name can give purpose, form the basis of uniqueness or, in some cases, even polarize. However, sometimes, a name is just a name, nothing more. This appears to be the debate surrounding some technologically inclined names that have risen to prominence in the post-pandemic era.
Veterans: An Untapped Talent Pool in AFC
The world is changing rapidly, and the illicit financial threats we face are growing more complex. In today’s anti-financial crime (AFC) community, there is a heated battle over who can successfully negotiate these challenges. Organizations are looking for hardworking, adaptable, trustworthy, resilient and mission-oriented people with can-do attitudes to combat financial crime and mitigate risk effectively.
From the Editor
Civilizations: From the Greeks to the Renaissance to Web3
When I attended college, the university required every student to take two courses in world civilization to graduate. Part one covered history up to 1500 and part two covered history post-1500. Needless to say, I gained a greater appreciation for history and I learned that each civilization, peoples or culture made significant contributions to the complicated web that would become the future.
A Message from the Director of Editorial Content
Time to Come Together on Crypto Regulation
Despite the failures of several cryptocurrency exchanges last spring, including several platforms dedicated to creating or trading stablecoin, resistance to reasonable regulatory oversight remains strong. The push against regulation continues even as institutions and wealthy individuals have begun buying crypto and traditional financial institutions have cautiously committed to offering cryptocurrency trading or custody.
Inside this Edition
- AML Challenges
- AML Policy
- Career Guidance
- Compliance
- Global Financial Crime Review
- Interview
- Know Your Chapter
- Meet the ACAMS Staff
- Member Spotlights
- Practical Solutions
- Staff Notes
Home Alone? Never, With Transaction Monitoring
You are alone late at night and there is a knock at the door—picture Kevin from “Home Alone.” Do you answer it right away? No, you move slowly to the door and look through the peephole or on your phone to ensure that you are safe and that a friend is on the other side.
Fintechs: The Evolution of Traditional AML
The financial technology (fintech) industry is growing exponentially throughout the world as it assists consumers in saving and transacting in an aggressively evolving digital world. Recent discussions on fintech have become extremely popular due to the potential impact it has on the entire financial system.
Key Challenges in the KYC Space and How to Address Them
The know your customer (KYC) process is perhaps the most critical aspect of anti-money laundering (AML) compliance, as it enables all other facets of AML, including transaction monitoring, suspicious activity report filings and sanctions screening. Indeed, the Financial Crimes Enforcement Network (FinCEN) has deemed KYC’s alter ego, customer due diligence (CDD), the “Fifth Pillar” of AML compliance and fundamental to a satisfactory AML program.
Walking Into Webs: AML and the Metaverse
As the famous and often cited Shakespeare quote goes, “What’s in a name…?” A name can give purpose, form the basis of uniqueness or, in some cases, even polarize. However, sometimes, a name is just a name, nothing more. This appears to be the debate surrounding some technologically inclined names that have risen to prominence in the post-pandemic era.
Measuring the Effectiveness of Your AML Program
Compliance practitioners have long struggled with the notion of an effective compliance program. What does it mean to be “effective”? In this struggle, many find out when it is too late—through an audit, examination or enforcement order. This question is not only for the compliance officer but also for management and the board of directors, who should understand the compliance risks pertinent to their business and the efforts made to mitigate those risks.
U.S. Department of the Treasury Reports on AML in the Art Market
In 2020, the U.S. Senate Committee on Homeland Security and Government Affairs commissioned an investigation that was elaborated in “The Art Industry and U.S. Policies that Undermine Sanctions,” which concludes the art market to be the largest legal, unregulated U.S. market.
Contextual Risk and Its Impact on AML and Sanctions Programs
The term “contextual risk” is quickly becoming a buzzword in our industry as technology advancements and data expansion continues. And while those items are important for efficiency when it comes to developing a contextual risk baseline for customers, it is important in this process not to lose the critical element of the human touch.
FinCEN’s Corruption Prevention and Mitigation Policies
The article “FinCEN’s AML and Terrorist Financing Priorities: An Introduction,” featured in the ACAMS Today 12th Law Enforcement edition, shared general thoughts, basic definitions and practical examples on each of the national anti-money laundering (AML) priorities. This article, the second of the series, will discuss corruption in greater detail.
Resume Advice for the AFC Professional
In 2016, an article in ACAMS Today provided information and tips on crafting effective resumes. Fast-forward to 2020, when the rapid spread of the COVID-19 virus resulted in the so-called “great resignation” where, for various reasons, large portions of certain industries quit their jobs, leaving businesses searching for applicants to fill open roles.
Red Hot Careers Worth Considering
The financial services sector, especially in the financial technology (fintech) area, has experienced a wave of layoffs lately. This article looks at six career options that are red hot right now in terms of hiring activity.
Best Practices for Evolving Your Risk Assessment Process
“If you do not change direction, you might end up where you are heading.” The quote by Lao Tzu feels appropriate considering the numerous public and non-public regulatory actions, resource constraints and lack of senior management engagement that have plagued anti-money laundering/counter-terrorist financing (AML/CTF) and sanctions programs.
The Benefits and Challenges of the Sponsorship Model Between Banks and Fintech MSBs
“Fintech,” a portmanteau for financial technology, describes the development of new software and technologies that seek to improve and automate the delivery and use of traditional financial products and services offered to both individuals and businesses. Fintech companies apply these innovative technologies and make financial services more accessible and efficient. This often brings them into direct competition with services offered by banks and other financial institutions (FIs).
Benefits of Embedded Fintech and Regtech for Financial Institutions
Many financial institutions (FIs) see efforts to embed financial technology (fintech) and regulatory technology (regtech), which can be attributed to a mandate in favor of digital transformation as a must. According to a recent survey, 77% of FIs said that they plan to increase their digital investments in the next year. This might be due to the fact that 87% of those same FIs reported that “their existing digital initiatives have been successful.”
OFAC Calls for Geolocation Tools and Blockchain Intelligence
The Office of Foreign Assets Control (OFAC) has focused on cryptocurrency over the last few years. OFAC has used sanctions and enforcement actions to go after those facilitating money laundering and sanctions evasion, sending a clear message to crypto businesses that sanctions compliance is a foundational infrastructure. But how can a cryptocurrency business ensure that it is not engaging with a sanctioned individual or a sanctioned entity?
White-collar Crime: An Overview of the Crime’s More Than 80-year Existence
In December 2021, the term “white-collar crime” marked its 82nd anniversary. The study of crime and criminals traditionally focuses on predatory offenses and the so-called “common” criminals who commit these offenses. White-collar crime—fraud, corruption, bribery, organized crime, cybercrime, identity theft, money laundering and drug trafficking—receives comparatively scant attention despite strong evidence that the financial harm it causes far outweighs the harm caused by predatory crimes.
Claim Your Role in Combating Illegal Wildlife Trade
The sustainability agenda has taken center stage around the world, in many instances surpassing the profit agenda, as people across the globe come to terms with their impact on our planet.
The Transnational Organized Crime of Illicit Goods Trade
The rapid growth of business activities—such as buying and selling raw materials, manufacturing goods and trading—and the increased demand for goods have revolutionized the way these goods are manufactured and sold across borders.
Jennifer Arnold: AI and the Power of Female Entrepreneurs
ACAMS Today sat down with Jennifer Arnold, co-founder and CEO of MinervaAI, an award-winning, artificial intelligence (AI) driven regtech company delivering know your customer (KYC), know your business (KYB), enhanced due diligence and ongoing monitoring insights in less than 30 seconds. Arnold has made it her mission to demystify anti-money laundering (AML) compliance with extensive experience in AML remediation and transformation.
New Jersey Chapter: Unwavering Dedication to AML
In the summer of 2012, Laura Goldzung and Howard Sawransky each notified the ACAMS chapter leadership of their desire to start a New Jersey chapter. ACAMS leadership put them together, and Goldzung and Sawransky met for lunch to discuss the opportunity. After several phone calls and meetings, the ACAMS Northern New Jersey Chapter name was chosen because the Philadelphia Chapter already covered southern New Jersey.
Central Florida Chapter: Revamping the AFC Community and Landscape
As we head further away from the pandemic lockdowns and the disruption it caused to our professional and personal lives, our chapter thought it would be appropriate to address and highlight the current makeup of our board and our focus for the future.
Scarlet Patricia Fuentes: Enriching Virtual Events
ACAMS Today interviewed Senior Specialist Scarlet Patricia Fuentes from ACAMS’ virtual events team about her role in planning ACAMS events. Fuentes previously worked as the events program coordinator for six years before accepting her current position. She collaborates closely with account managers to project manage ACAMS preparation seminars for public sectors, private sectors and training partners.
Scott Bakelman, CAMS—Texas, USA
Scott Bakelman is a Marine veteran with multiple combat tours to Afghanistan and Iraq. Through his nine years of active service, he worked within the intelligence services space focusing on international terrorist organizations and contributing to combating terrorist financing. His transition to the private sector occurred in 2009. Since then, Bakelman has continued to support the global war on terrorism by working with various government contracting companies.
Andrew Dalip Jr., CAMS-Audit, CGSS, LL.B.— Trinidad and Tobago
Andrew Dalip Jr. is an attorney at law and consultant in anti-money laundering, counter-terrorist financing and combating proliferation financing (AML/CTF/CPF) and environmental law. Special legal advisor to three attorneys general, Dalip led the development and implementation of targeted financial sanction mechanisms under the U.N. Security Council Resolutions and piloted Trinidad and Tobago’s first entry on the U.N.’s Islamic State group and al-Qaida global sanctions list.
Mena Enaohwo—Texas, USA
As head of payments compliance and Bank Secrecy Act (BSA) officer for CSG Forte Payments Inc., Mena Enaohwo leads the payments compliance team and BSA program. Enaohwo is an experienced attorney and compliance leader with business acumen in banking operations, payments, customer identification, compliance risks, anti-money laundering, industry practices and emerging compliance risk trends.
The Future of Human Rights on Web3
It is now widely recognized that today’s internet, considered the second generation of the web, has a decidedly mixed record on human rights. While Web2 platforms have created opportunities for transparency, organizing and grassroots power building, they have also enabled human trafficking (HT), conspiracy theories, genocide, repression and domestic terrorism, as well as arguably an epidemic of mental health crises.
Veterans: An Untapped Talent Pool in AFC
The world is changing rapidly, and the illicit financial threats we face are growing more complex. In today’s anti-financial crime (AFC) community, there is a heated battle over who can successfully negotiate these challenges. Organizations are looking for hardworking, adaptable, trustworthy, resilient and mission-oriented people with can-do attitudes to combat financial crime and mitigate risk effectively.
Deepfake 101: A Threat to FIs
Deepfake technologies, such as digitally altered videos in which a person has been replaced with another person’s likeness, have been used in the entertainment industry for years. Recently, however, they have been used for more nefarious purposes.
China Upgraded Its AML/CTF Act
As an international requirement, the standards, scope and regulatory structure of anti-money laundering/counter-terrorist financing (AML/CTF) have become increasingly strict in recent years. International AML organizations and countries have frequently issued or revised related guidance papers, laws and regulations, which encourage public-private partnerships that cooperate in fighting financial crimes to explore more effective and powerful mechanisms.