FATF Publishes Report on Crypto Asset Standards Implementation
Overview
On July 16, 2026, the FATF published its report on implementation of FATF standards for virtual assets and virtual asset service providers (VASPs). Prepared by the VACG, the report is the seventh annual monitoring report and summarizes global progress in implementing the standards, including the Travel Rule, measures to promote implementation, and emerging risks. The FATF also updated the table on implementation of Recommendation 15. Japan’s Financial Services Agency contributed to the report as co-chair of the PDG and VACG.
Key points
- The FATF published an annual report on implementation of standards for virtual assets.
- The report summarizes global progress in implementing the standards, measures to promote implementation, and emerging risks related to virtual assets.
- The table on implementation of Recommendation 15 was also updated.
Overview
The Financial Services Agency announced that the FATF published on July 16, 2026, the report “Targeted Update on Implementation of the FATF Standards on Virtual Assets and Virtual Asset Service Providers.”
The report is the seventh annual monitoring report prepared by the Virtual Assets Contact Group (VACG) under the FATF Policy Development Group (PDG).
The Financial Services Agency contributed to compiling the report as co-chair of the PDG and co-chair of the VACG.
Details
The report covers global progress in implementing FATF standards, including the Travel Rule, and measures to promote implementation. It also addresses emerging risks related to fraud cases, illicit crypto asset-related activities by North Korea, stablecoins, peer-to-peer (P2P) transactions involving unhosted wallets, and decentralized finance (DeFi).
The updated “Table of steps taken by FATF members and jurisdictions with materially important VASP activity towards implementing R.15” aims to promote global implementation of FATF standards for virtual assets. It lists implementation measures, such as legal and regulatory development, based on jurisdictions’ self-reports, covering FATF member jurisdictions and jurisdictions with materially important virtual asset activity that meet the selection criteria for transaction volume or number of users.