Recognized as one of the top firms for client service, BakerHostetler is a leading national law firm that helps clients around the world address their most complex and critical business and regulatory issues. With five core national practice groups — Business, Labor and Employment, Intellectual Property, Litigation, and Tax — the firm has more than 970 lawyers located in 14 offices coast to coast. BakerHostetler is widely regarded as having one of the country’s top 10 tax practices, a nationally recognized litigation practice, an award-winning data privacy practice and an industry-leading business practice. The firm is also recognized internationally for its groundbreaking work recovering more than $13 billion in the Madoff Recovery Initiative, representing the SIPA Trustee for the liquidation of Bernard L. Madoff Investment Securities LLC. Visit bakerlaw.com
Non-fungible tokens (NFTs) often involve two areas with known money laundering and terrorist financing risks: cryptocurrencies and high-value assets, like art.
Non-fungible tokens (NFTs) often involve two areas with known
money laundering and terrorist financing risks: cryptocurrencies
and high-value assets, like art. As detailed below, the U.S.
Treasury Department's Financial Crimes Enforcement Network
(FinCEN) has provided guidance on the applicability of statutes
related to anti-money laundering and terrorist financing (AML) to
cryptocurrencies. Recent actions and statements from Congress also
show an increased AML focus on the art world, suggesting that the
industry may be subject to more AML regulation, as are other
industries with high-value assets, like precious metals, stones,
and jewels. While there is far less regulatory guidance on NFTs
specifically, the rules and regulations for these related asset
classes, together with recent statements on NFTs by regulators, can
provide insight into the AML considerations that NFT market
participants should bear in mind and what precautions they may wish
to take currently.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.