Best printers for Home

Best Mixer Grinder

Best wired Earphones

Best 43 Inch TV in India

Best Wi Fi Routers

Best Home Theatre in India

Smart Watch under 5000

Best Laptops for Education

Best Laptop for Students

Financial Action Task Force (FATF), the international terror financing watchdog is looking forward to take a strict action against Pakistan. With the country being on the verge to find its way onto the ‘Dark Grey’ list on October 18, the present situation signals the last warning to the nation to improve and stop money laundering and terror financing. Established in 1989, FATF is an inter-governmental body that works with the objective of curbing money laundering, financing terrorism and other kinds of threats that can challenge the integrity of the international finance system. An official privy by FATF says Pakistan has shown only an inadequate performance after being put on the grey list in June last year. The country was also given a plan to complete by October 2019 failing which Pakistan had to face the risk of being placed on the black list along with other countries including Iran and North Korea. Pakistan and the FATF grey list For the first time, Pakistan was included in the grey list in 2012 and was seen on it until 2015. In June 29, 2018, Pakistan was grey listed for the second time by the FATF. Pakistan submitted its compliance report on the 27 point action plan. The five year review by the APG concluded on August 23, 2019 and FATF said Pakistan failed to complete its action plan on the issue of terror financing. It was evident that Pakistan is on the verge of strong action as it could manage to pass only 6 of the 27 items. On Thursday, October 18, 2019, the FATF will take up the grey listing of Pakistan. What is Dark Grey List? The rules of FATF state that there is an intermediary stage between the grey and black lists namely the dark grey list. According to the information got from the official source, being entered in the dark grey list will mean an issuance of a serious warning that will give the country the last chance to improve. Dark grey was the term that FATF uses for referring to warnings up to the 3rd phase. Nowadays it is called as warning which is in the 4th phase. What are the implications if Pakistan is placed on the Dark Grey List? Finding its way to the Dark Grey List by FATF will mean some dire consequences for Pakistan. If this happens, Pakistan will find it extremely difficult to get any financial aid from the IMF, the European Union and the World Bank. This will mean a precarious condition for the country especially at a time when the country is facing a serious economic set back. What is happening right now? Countries including India, UK, US and France are pushing for a stricter action against Pakistan. While Pakistan is striving hard to get off the grey list, India is working through different channels to see that the blacklisting process of Pakistan is initiated. October 18 will be a crucial day for Pakistan. The support from China, Malaysia and Turkey will mean there are chances for Pakistan not to be blacklisted as only a minimum of three votes are needed to prevent black listing at the FATF. However, to get out of the grey list, the country will need the votes of at least 15 nations. As of now, Pakistan does not enjoy this luxury.

Pakistan's fate hangs in balance as FATF week begins, to take up 'grey list' matter on October 18

Issues related to crypto assets require immediate attention and the response of the G20 has to ensure that they do not lose any potential benefits while protecting economies from harm, Union Finance Minister <keyword id="129243" type="General" weightage="50" keywordseo="nirmala-sitharaman" source="Orion">Nirmala Sitharaman</keyword> has said. <keyword id="679937" type="General" weightage="100" keywordseo="sitharaman" source="Orion">Sitharaman</keyword> was part of a brainstorming session on "Macrofinancial Implications of Crypto Assets" with G20 finance ministers and central bank governors at the IMF's headquarters here on Friday. India currently holds the rotating annual presidency of G20 countries. Issues related to crypto have emerged as a major point of discussion among G20 countries and there is unanimity among member nations about the urgency to regulate this sector. The brainstorming session was attended by global experts on this issue. In her remarks, Sitharaman said the G20 acknowledges the work of the International Monetary Fund (IMF) and the <keyword id="112428" type="General" weightage="80" keywordseo="financial-stability-board" source="Orion">Financial Stability Board</keyword> (FSB) in bringing out key elements of policy and regulatory framework. She also said a synthesis paper, which would integrate macroeconomic and regulatory perspectives of crypto assets, is required. The minister noted that there was consensus among G20 members to have a globally coordinated policy response on crypto assets that takes into consideration the full range of risks, including those specific to emerging markets and developing economies. Earlier this week, Sitharaman had said that India's G20 Presidency aims to develop a common framework for all countries to deal with risks associated with cryptocurrencies in the wake of the recent shocks witnessed in the crypto market. The last year episode of FTX's bankruptcy, and its spat with Binance triggered a huge sell-off in the market and reduced liquidity. This event made the world realise the vulnerability of this asset class as they do not have any underlying value. "Cryptocurrencies are a very important part of the discussion under the #G20India presidency, given so many collapses and shocks in cryptocurrencies. We seek to develop a common framework for all countries to deal with this matter," she had said at a discussion at Peterson Institute for International Economics here. According to the chair's summary released at the end of the two-day meeting of the first Finance Ministers and Central Bank Governors (FMCBG) held in February, the grouping will be looking forward to the IMF-FSB Synthesis Paper on crypto assets. "I am glad to say one thing: there is almost a clear understanding that anything outside the central bank is not a currency. And this is a position that India has been taking for a very long time and we are glad that such a position of India is now also getting acknowledgement from so many different members. People recognise that the technology is very useful for fintech," she had said after the conclusion of FMCBG. Further, in July, the FSB's paper on crypto assets regulation will be tabled so that it could be discussed at the next meeting of the finance ministers and central bank governors. The International Monetary Fund-Financial Stability Board (IMF-FSB) synthesis paper will be submitted in September, she added. Despite the rapid evolution of the crypto universe, there is no comprehensive global policy framework for crypto assets. Given the concerns over greater interconnectedness between crypto assets and the traditional financial sector as well as the complexity and volatility around crypto assets, policymakers are calling for tighter regulation. The global standard-setting bodies, such as the Financial Action Task Force (FATF), Financial Stability Board (FSB), Committee on Payments and Market Infrastructures (CPMI), International Organization of Securities Commissions (IOSCO) and Basel Committee on Banking Supervision (BCBS), have been coordinating the regulatory agenda while working within their respective institutional mandates. India hopes to broaden the G20 discussion on crypto assets beyond financial integrity concerns and capture the macroeconomic implications and widespread crypto adoption in the economy. This will require a data-based and informed approach to the global challenges and opportunities of crypto assets, allowing G20 members to shape a coordinated and comprehensive policy response. SEE ALSO: <a href="https://www.businessinsider.in/business/auto/news/ather-finally-focuses-on-affordable-electric-scooters-after-losing-its-lead-to-ola-electric-and-tvs-motor/articleshow/99456189.cms">Ather finally focuses on affordable electric scooters after losing its lead to Ola Electric and TVS Motor</a> <a href="https://www.businessinsider.in/tech/news/17-of-people-store-financial-information-on-their-smartphones/articleshow/99426637.cms">Despite a rise in financial frauds, 17% of people store financial information on their smartphones</a> <a href="https://www.businessinsider.in/tech/news/most-common-passwords-can-be-easily-cracked-by-ai-in-under-a-minute/articleshow/99379900.cms">AI chatbots are cracking the code: How PassGAN can break into 51% of common passwords in under a minute</a>

Crypto issue requires immediate attention, says FM Sitharaman

<ul><li><keyword id="5565" type="COUNTRY" weightage="20" keywordseo="South-Korea">South Korea</keyword> will be able to seize cryptocurrencies held by tax evaders starting next year.</li><li>The country’s current laws only apply to physical assets that make it difficult to access digital wallets.</li><li>The move comes after tax authorities seized $47 million from <keyword id="11395440" type="AGENCY" weightage="20" keywordseo="Crypto-tax">crypto tax</keyword> evaders last month.</li></ul>Cryptocurrencies will no longer serve as a tax haven for investors in South Korea. The tax authorities have introduced a bill that will allow the seizure of cryptocurrencies from digital wallets starting next year. This means that an <a href="https://www.koreatimes.co.kr/www/biz/2021/05/175_309628.html">estimated </a>10% of global <keyword id="2721952" type="PERSON" weightage="20" keywordseo="crypto">crypto</keyword> transactions will now be under the South Korean government’s purview. Most of the trading takes place over altcoins, but even <a href="https://wazirx.com/signup?invite=2kpah6gr&amp;utm_source=business-insider&amp;utm_medium=referral&amp;utm_campaign=microsite&amp;is_retargeting=false&amp;shortlink=BI&amp;c=site&amp;pid=Business%20Insider&amp;af_click_lookback=7d&amp;af_channel=Business%20Insider&amp;af_adset=article&amp;af_force_deeplink=true">Bitcoin </a>is often <a href="https://asia.nikkei.com/Spotlight/Cryptocurrencies/Crypto-crash-dashes-dreams-of-South-Korea-s-lost-generation">traded </a>at a premium of 20%. The booming crypto exchanges at the centre of all this activity — especially those who have set up their headquarters overseas but are operating in the country — will be required to transfer the <a href="https://wazirx.com/signup?invite=2kpah6gr&amp;utm_source=business-insider&amp;utm_medium=referral&amp;utm_campaign=microsite&amp;is_retargeting=false&amp;shortlink=BI&amp;c=site&amp;pid=Business%20Insider&amp;af_click_lookback=7d&amp;af_channel=Business%20Insider&amp;af_adset=article&amp;af_force_deeplink=true">virtual assets</a> of the tax evader to the government upon request as per the new law. According to <a href="https://www.koreatimes.co.kr/www/biz/2021/07/367_312804.html">Korea Times</a>, denying that request could lead to search and seizure of sites ‘as deemed necessary’ by the authorities. The peninsular nation amped up its crackdown on cryptocurrencies this year. Officials seized more than $47 million from 12,000 citizens accused of tax evasion in June, according to <a href="https://www.coindesk.com/south-korea-seizes-crypto-in-tax-sting-report">the Financial Times</a>. The investigation was the largest “cryptocurrency seizure for back taxes in Korean history,” according to officials. <cmsannotation type="cmsannotation" annotationid="Why does South Korea need a new law to confiscate cryptocurrency?" comment="subhead" text="Why does South Korea need a new law to confiscate cryptocurrency?">Why does South Korea need a new law to confiscate <keyword id="6357017" type="DEFINITION" weightage="20" keywordseo="cryptocurrency">cryptocurrency</keyword>?</cmsannotation> Existing laws in the country only permit property and other physical asset seizures. Crypto assets, on the other hand, are stored with exchanges or wallet companies. This adds a layer of complexity since they are not ‘technically’ physical assets. Since the existing laws don’t technically apply to digital wallets, tax dodgers could <a href="https://www.businessinsider.in/cryptocurrency/news/more-than-800-arrested-in-16-countries-millions-seized-in-cryptocurrency/articleshow/83371837.cms">rely on crypto-assets</a> to mask their dirty money. Even current policies around allowing seizure of assets through a court-granted change in ownership records do not apply to digital or virtual assets. This change will allow direct seizing of digital assets without any court-approved change. And, the spotlight on overseas tax evasion done by controlled foreign corporations — some of which are crypto exchanges — will intensify. <cmsannotation type="cmsannotation" annotationid="South Korea needs the additional revenue" comment="subhead" text="South Korea needs the additional revenue">South Korea needs the additional revenue</cmsannotation> South Korea’s Finance Ministry will proceed with 16 proposed revisions in the tax codes on September 3. The bill is expected to go through with minimal opposition since the governing party has a majority in the assembly. And, having more money in the kitty is critical for the government right now. Tax revenues are currently a major source of income for the country to take care of its ageing population. South Korea had the lowest birth rate in the world last year. And, just like Japan, it’s buckling up for the future where there will be more dependents within the population than those able to work. This, in turn, will put an impetus on the government to provide adequate social security. <h2 style="line-height:1.38;margin-top:0pt;margin-bottom:0pt;"><cmsannotation type="cmsannotation" annotationid="South Korea is ready to accept crypto, but only on its own terms" comment="subhead" text="South Korea is ready to accept crypto, but only on its own terms">South Korea is ready to accept crypto, but only on its own terms</cmsannotation></h2> South Korea has been highly focused on how one can leverage cryptocurrencies to potentially defer taxes, launder money, or fund illegal transactions. It's taking <a href="https://www.businessinsider.in/cryptocurrency/news/south-korea-is-open-to-cryptocurrencies-and-making-an-effort-to-regulate-them/articleshow/83986459.cms">strict measures</a> to ensure crypto exchanges are used for legitimate investment or payments purposes only. In January, South Korea also began enforcing a requirement that the name on cryptocurrency investors' bank account matches their account at a <a href="https://wazirx.com/signup?invite=2kpah6gr&amp;utm_source=business-insider&amp;utm_medium=referral&amp;utm_campaign=microsite&amp;is_retargeting=false&amp;shortlink=BI&amp;c=site&amp;pid=Business%20Insider&amp;af_click_lookback=7d&amp;af_channel=Business%20Insider&amp;af_adset=article&amp;af_force_deeplink=true">crypto exchange</a>. At the same time, exchanges were asked to partner with conventional banks to establish these "real name" accounts. Indirectly, creating a custodian service that incorporates cutting-edge technology from exchanges and trust via traditional institutions. Under the toughened regulations, Korean financial firms have to report alleged illegal transactions to the state-run Korea Financial Intelligence Unit within three days after finding suspicious financial crimes. While countries are <a href="https://www.businessinsider.in/cryptocurrency/news/japan-is-increasing-vigilance-on-crypto-to-hire-more-employees-and-explore-cbdc/articleshow/84475780.cms">mulling </a>over cryptocurrency regulations for years, there's little progress, and it continues to be the wild west. However, South Korea has managed to gain a considerable lead and is already enforcing regulations in a phased manner. The tiny country is famous for its technological capabilities due to homegrown giants like Samsung and LG. The new proposed regulations for crypto seizures <a href="https://www.businessinsider.com/financial-action-task-force-published-review-of-crypto-standards-2020-8?IR=T">align with recommendations</a> by the Financial Action Task Force (FATF), a global intergovernmental organisation developed to combat money laundering. <a href="https://forum.businessinsider.in/">For a more in-depth discussion, come on over to Business Insider Cryptosphere</a> — a forum where users can deep dive into all things crypto, engage in interesting discussions and stay ahead of the curve. SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/cryptocurrency/news/the-indian-government-has-no-data-on-how-many-crypto-exchanges-and-investors-working-on-cryptocurrency/articleshow/84821709.cms">Equalisation levy on crypto exchanges in India will not apply to investors, according the Finance Minister</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/cryptocurrency/news/elon-musk-and-michael-saylor-had-the-most-influence-on-crypto-markets-over-the-last-three-months/articleshow/84789343.cms">Elon Musk and Michael Saylor’s influence on crypto markets have made it as volatile as the ‘crypto winter’ of 2017</a>

After seizing $47 million from crypto tax dodgers, South Korea is looking to tighten the net

You Searched For "fatf headquarters" and got 3 results

Pakistan's fate hangs in balance as FATF week begins, to take up 'grey list' matter on October 18

BI India Bureau

Crypto issue requires immediate attention, says FM Sitharaman

PTI

After seizing $47 million from crypto tax dodgers, South Korea is looking to tighten the net

Shivam Vahia

Popular Keywords

Buying Guides