Cyprus has urged financial professionals to step up their efforts in preventing terror financing, highlighting the importance of vigilance, especially in cryptocurrency transactions.
The Institute of Certified Public Accountants of Cyprus (ICPAC), which oversees the accounting profession on the island, has issued a “terror financing alert.” This alert aims to engage accounting and audit professionals in the fight against terror financing by focusing on five key methods of fund transfer, including the use of cryptocurrencies.
Support for Law Enforcement
While law enforcement agencies handle financial crimes such as money laundering and terror financing, ICPAC is emphasizing the need for accounting professionals to play a proactive role in prevention. The regulator stated:
“Given the critical role professionals play as gatekeepers, it is essential for those in the financial sector to actively participate in preventing these crimes.”
According to ICPAC, terrorist groups use several methods to transfer funds, including donations through NGOs, cash, bank transfers, gift cards, cryptocurrencies, and shell companies.
Monitoring Crypto Transactions
Regarding cryptocurrencies, ICPAC is advising accountants to closely monitor anonymous peer-to-peer transfers, crowdfunding, charity donations, and anonymous online fundraising campaigns.
ICPAC has instructed its members, affiliated firms, and compliance officers to report any suspicious transactions. Failing to do so will be considered an offense.
As a result, flagged transactions will undergo detailed scrutiny, including profiling individuals, screening crypto wallets, and using specialized blockchain analysis tools.
Summary Review: Cyprus is taking a proactive stance in combating terror financing by calling on financial professionals to enhance their vigilance, especially in cryptocurrency transactions. The ICPAC’s new alert highlights the need for accountants and auditors to play an active role in preventing the misuse of various fund transfer methods, including digital currencies. By involving these professionals in monitoring and reporting suspicious activities, Cyprus aims to strengthen its defenses against financial crimes and ensure greater oversight in the financial sector.
Disclaimer: Remember that nothing in this article and everything under the responsibility of Web30 News should be interpreted as financial advice. The information provided is for entertainment and educational purposes only. Investing in cryptocurrency involves inherent risks and potential investors should be aware that capital is at risk and returns are never guaranteed. It is imperative that you conduct thorough research and consult with a qualified financial advisor before making any investment decision.
