Mexico Regulator: 12 Cryptocurrency Exchanges Operate Illegally

Santiago Nieto Castillo, the leader of uif, a Mexican financial regulator, issued a warning that 12 cryptocurrency exchanges were operating in the country illegally. The regulator is currently providing the data Mexican authorities need to combat these exchanges. The institution receives information from 23 registered cryptocurrency exchanges that notify users of transactions.

Mexican regulator hunts for unregulated exchanges
The Financial Intelligence Unit (UIF), a Mexican financial regulator, issued a warning about 12 cryptocurrency exchanges that are illegal in the country. The names of these companies are not specified, and this means that these exchanges are still not registered with the SAT, the country’s Tax Agency. Uif leader Santiago Nieto Castillo said they were gathering data to take action against these companies.

Mexico’s financial technology law states that virtual asset service providers must report the actions of customers who have traded more than 57,804 pesos, currently equivalent to $ 2,911. This policy began in April 2021. Nieto Castillo said the UIF had received 3400 alerts from 23 cryptocurrency exchanges already registered by the regulator. In the country, cryptocurrency exchanges are characterized as a high-risk activity due to problems with money laundering and financing of terrorism.

Nieto Castillo suggested there may be a link between these exchanges and criminal groups.Dec. He stated:

The key question will be the analysis of cryptocurrencies and their relationship to criminal groups. This draws my attention to the fact that many cryptocurrency platforms have been established in various municipalities of the state of jalisco (the area dominated by the Jalisco cartel).

Exchange Platforms Could Be Subject To Sanctions
With the help of registered exchanges, UIF has identified three possible money laundering attempts using Cryptocurrency. Nieto Castillo on this, thanks to this surveillance t

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