#QuickBiteCompliance Day 85
🌍💵 What is Dollar Clearing and Why Should We Care?
Let’s break it down so even a 4th grader can understand!
Imagine you have friends all over the world. One friend in Japan sends you yen 🪙, but you want dollars 💵 because that’s what you use at home. Dollar clearing is like the magic translator that turns your friend’s yen into dollars so you can use them. It’s a big part of how money moves around the world every day.
But here’s the problem: not everyone uses dollar clearing for good. Some bad guys, like criminals or fraudsters, use this process to hide stolen money or fund illegal activities.
Example 1: Sneaky Swaps
Imagine a bad guy in one country sends stolen money in their local currency to another country. They use dollar clearing to turn it into dollars and move it somewhere else, making it harder to track.
Example 2: Fake Businesses
A criminal might create a fake company and pretend to sell goods. They’ll use dollar clearing to move dirty money through fake transactions, making it look legit.
Why It Matters:
If we don’t keep an eye on dollar clearing, bad guys can use it to hurt people and fund things like trafficking, terrorism, or other crimes. But with smart anti-financial crime practices, we can spot suspicious activity and stop them in their tracks.
Let’s stay alert, protect the financial system, and make the world a safer place!
#DollarClearing #FinancialCrime #AntiMoneyLaundering #AML #FraudPrevention #GlobalFinance #StopTheBadGuys #InclusiveRegtech #OpenSourceAML
Source: https://www.acams.org/en/resources/aml-glossary-of-terms
