#QuickBiteCompliance Day 72
Protecting What’s Yours: The Importance of Safeguarding Assets
Imagine you have a piggy bank where you keep all your savings. You trust a grown-up to keep it safe for you. Now, what if that grown-up didn’t just protect your piggy bank but secretly took your money or let someone else sneak into it? Scary, right? This is why “Custody” is so important in the world of money.
Custody means safely holding and taking care of other people’s money or assets, like a super-secure vault for grown-ups’ savings, stocks, or even fancy items like gold bars. Most companies do this honestly, but bad guys can sneak in and use custody to commit financial crimes. Here’s how:
🔍 Example 1: Hiding Stolen Money
A criminal might pretend to be a trustworthy company. They take people’s money to “protect it” but secretly hide stolen money in the mix.
🔍 Example 2: Fake Investments
Some crooks promise to grow your money in super-secret ways. Instead of investing it, they keep it or run off with everything.
🔍 Example 3: Helping Other Bad Guys
Fraudsters might use custody services to help other criminals move money around the world, making it harder to trace.
But here’s the good news! Financial crime experts (like me) work hard every day to spot these tricks and stop bad guys from taking what doesn’t belong to them.
💡 Always ask questions, check credentials, and ensure your “grown-up with the vault” is someone you can trust!
#AntiFinancialCrime #FinancialSafety #CustodyMatters #ProtectYourMoney #FinancialLiteracy #InclusiveRegtech #OpenSourceAML
Source: https://www.acams.org/en/resources/aml-glossary-of-terms
