FATF warns of digital money laundering via AI and crypto

The Financial Action Task Force (FATF) has issued a warning regarding the professionalization and digitalization of money laundering networks. Criminal organizations are increasingly integrating cryptocurrencies, artificial intelligence, and encrypted messaging services to move funds rapidly across international borders.

A key phenomenon identified is the rise of “digital hawala,” a technological evolution of traditional informal value transfer systems. In these digital networks, intermediaries use encrypted applications such as WhatsApp, Telegram, and Signal to coordinate transfers, while clients utilize mobile wallets, fintech platforms, and instant payment systems. Approximately 70% of the jurisdictions consulted by the FATF reported the integration of new technologies into these systems.

The report highlights the growing role of virtual assets, specifically stablecoins, which allow operators to settle accounts between one another without the physical movement of cash. Furthermore, the FATF noted a shift toward a “money laundering as a service” model, where specialized entities operate with cross-border structures to hide funds for criminal organizations in exchange for commissions.