You Think you Know, But you Have No Idea

Author: Shanique Smith, CAMS-Audit

The selection or range of products providing elevated anonymity is vastly increasing and will only continue to expand, as these products will be required to keep pace with providing continued convenience and variety while remaining innovative. However, because of the faceless aspects of these products, people are more inclined to be their true selves since they would not have to worry about committing a crime directly in front of someone or possibly being identified by law enforcement—and that is where additional risk comes into play. Money laundering exploits payment system vulnerabilities that provide criminals the opportunity to disguise both themselves and the nature of their transactions. Banking fraud groups and other criminals, as they always do, have found and begun to abuse weak links in the chains of security and oversight surrounding products with a great deal of anonymity.

This discussion will focus on two types of faceless products: virtual currencies and prepaid cards.

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