Svmuu News: The Financial Action Task Force (FATF), an anti-money laundering regulatory body, noted in its latest report that peer-to-peer (P2P) stablecoin transfers have become a significant loophole for money laundering, terrorist financing, and sanctions evasion in the crypto sector. Because transactions occur directly between user-custodial wallets without the involvement of regulated intermediaries, such activities are more difficult to monitor and track. The FATF recommends that stablecoin issuers embed technical controls into smart contracts, including freezing, blocking, or reclaiming tokens from suspicious addresses, and restricting specific wallet addresses from participating in transactions through allow-list and deny-list mechanisms, to help law enforcement agencies disrupt illicit fund flows. (Decrypt)