An undercover investigation has uncovered that unregistered cryptocurrency firms in Canada are facilitating large-scale cash-for-crypto transactions with minimal compliance checks. These operations, including exchanges offering up to $1 million in unverified cash, highlight significant enforcement gaps in Canada's anti-money laundering framework.
The investigation revealed that over 20 unregistered crypto-to-cash services are operating across the country, many of which do not require identity verification. In one instance, a Toronto storefront processed a $1,900 cash transaction using only a $5 bill's serial number as identification, violating Canadian regulations. Experts warn that the lack of oversight and resources for FINTRAC, Canada's financial intelligence unit, is enabling the criminal use of cryptocurrencies.
Unregistered Crypto Firms in Canada Linked to Money Laundering
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