Does this mean that the IMF want to monitor crypto transaction all over the world?
With this request from them, they wanted to add our information to their database so they can monitor the crypto users that are using registered exchanges at the same time.
Have you heard or read anything about the Financial Action Task Force (FATF) formed by the IMF? It's main objective is to trace transactions and determine who was sending funds and where the the funds is being sent to. Recently, the group came up with the "Travel Rule" which recommends crypto exchanges to collect data from their users. I wrote about it a few months ago
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The travel rule requires that cryptocurrency exchanges collect and record customer information related to cryptocurrency transactions. The information includes the transaction originator’s name, account number and location, as well as the recipient’s name and account number.
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Philippines is not yet a member of the FATF but IMF is also suggesting the BSP to follow the Travel Rule. For now, the recommendation looks like "for research" purposes but I think we know where this is going to.
Now, here's my question, do you think this would be helpful to reduce the scams in the space and to help the crypto grow in the long run?
Well, it will help curb scams and money laundering. Will it be beneficial in the long run? I guess so. We can only speculate on that. What is certain now is that it won't eradicate scams completely. Compared to other forms of currency, crypto is easier and faster to move privately & anonymously and there are many ways to do that
Will crypto exchanges release those information of trading of each users? I think that is a breached of privacy on the part of the traders.
I don't know if there is a breach of privacy, BSP can direct the exchange to release information they need and its the IMF that might request the BSP to certain information too, don't know how exactly it would work but in a centralized system, there are trees and branches.
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A court order to release even the most confidential information will do the trick I think.