Money laundering, terror financing - biggest risk of crypto: FM Sitharaman

The biggest risk of cryptocurrency could be money laundering and its use for terror funding, Union Finance Minister Nirmala Sitharaman said on Monday.

In her address at a seminar during the ongoing Spring Meet of the International Monetary Fund (IMF), Sitharaman said, "I think the biggest risk for all countries across the board will be the money laundering aspect and also the aspect of currency being used for financing terror."

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Sitharaman added that regulation using technology is the only answer. "Regulation using technology will have to be so adept, that it has to be not behind the curve, but be sure that it is on the top of it," the Minister said.

The Union Minister is on an official visit to the U.S. to attend the Spring Meetings at the World Bank, the G20 Finance Ministers meeting and the Central Bank Governor Meeting (FMCBG).

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During the first day of the visit, Finance Minister participated in a high-level panel discussion on "Money at a Crossroad" hosted by Kristalina Georgieva, Managing Director, IMF.