mod caucus 2nd topic :- supervision of VASPS to reduce ml/tf risks

Esteemed Delegates,

The rise of Virtual Asset Service Providers (VASPs) presents a unique challenge.
While VASPs offer innovative financial services, they also introduce new avenues
for criminal activity. To address this, effective supervision is crucial.

A comprehensive approach requires clear regulations outlining customer due

diligence, transaction monitoring, and reporting requirements. Collaboration
between supervisory bodies, VASPs, and law enforcement is essential for information
sharing and a unified response. Additionally, leveraging technological advancements
in supervisory tools can further strengthen efforts to identify and mitigate
financial crime risks.

On a global scale, establishing common standards for VASP supervision fosters a

more harmonized approach. Encouraging information sharing between countries
facilitates the identification of cross-border threats and a collaborative effort
to combat financial crime.

By implementing effective VASP supervision, we can harness the potential of these

new technologies while safeguarding the financial system. This requires a focus on
adapting regulations, enhancing cooperation between relevant entities, and
utilizing innovative tools to address evolving criminal tactics.