- Title
- The prevention of money laundering in the use of cryptocurrency
- Creator
- Mnyakama, Mzimkhulu
- Subject
- Money laundering--Prevention
- Subject
- Digital currency
- Date Issued
- 2023-04
- Date
- 2023-04
- Type
- Master's theses
- Type
- thesis
- Identifier
- http://hdl.handle.net/10948/60645
- Identifier
- vital:66287
- Description
- Money laundering has become common in the world and the introduction of cryptocurrencies has created another avenue that makes it easier to move funds between jurisdictions without anyone knowing. A block chain technology is used to process peer-to-peer electronic payments utilising decentralised virtual currencies known as cryptocurrencies. Although they are not yet regulated, cryptocurrencies are prevalent in South Africa and pose a risk of being used for money laundering and other illicit activities. The regulation of cryptocurrencies in South Africa to prevent money laundering is what is being examined by this research project. The objectives were to understand the concept of money laundering, cryptocurrency and the inherent risks of cryptocurrency in money laundering. An analysis and examination of the difficult concept of cryptocurrency and the risks of money laundering was done. The study demonstrated that cryptocurrencies are decentralised convertible virtual currencies based on cryptographic algorithms. Cryptocurrencies are not monitored by a central body. The research reveals that the use of cryptocurrencies presents risks of money laundering and other illegal activities because of its decentralised, anonymous, peer-to-peer, and unregulated nature. The study focused on the prevention of money laundering using cryptocurrency. International regulatory frameworks of countries such as Canada, United States of America, European Union and Australia were discussed and compared to the South African regulatory developments. It was established that the legal frameworks developed by Canada, the United States of America, the European Union, and Australia aim to mitigate the risk of money laundering associated with the use of cryptocurrencies. Additionally, it was discovered that there is no legislative framework in South Africa to regulate cryptocurrencies, however SARB acknowledged that efforts are being made to develop one. ix It was determined that South Africa urgently needs regulatory interventions in the continued use of cryptocurrencies. The author presented recommendations based on this need, including incorporating cryptocurrencies into the current legal framework by designating them as financial products and adopting a proactive rather than a reactionary approach to the developments of cryptocurrencies.
- Description
- Thesis (LLM) -- Faculty of Law, School of School of Criminal and Procedural Law, 2023
- Format
- computer
- Format
- online resource
- Format
- application/pdf
- Format
- 1 online resource (Xi, 80 pages)
- Format
- Publisher
- Nelson Mandela University
- Publisher
- Faculty of Law
- Language
- English
- Rights
- Nelson Mandela University
- Rights
- All Rights Reserved
- Rights
- Open Access
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NMU Department of Criminal and Procedural Law
| Thumbnail | File | Description | Size | Format | |||
|---|---|---|---|---|---|---|---|
| View Details Download | SOURCE1 | Mnyakama, M.pdf | 554 KB | Adobe Acrobat PDF | View Details Download |