The US and Nigeria have shaped a Bilateral Liaison Group to counter cryptocurrency-related crimes and illicit finance.
An Oct. 23 announcement reaffirmed the US’ dedication to working carefully with Nigeria. The US Division of Justice pledged to assist Nigeria in strengthening its capabilities for investigating and prosecuting cybercrimes.
Whereas the 2 nations have collaborated on different initiatives previously, this effort explicitly targets crimes involving crypto, as each international locations have seen substantial crypto adoption. Current knowledge from Chainalysis reveals Nigeria because the second-largest crypto adopter globally, making it a pacesetter in digital finance throughout Sub-Saharan Africa.
In the meantime, the US holds a robust place in North America, pushed by important institutional exercise round Bitcoin and Ethereum ETFs.
Over the previous years, cryptocurrencies have gained world traction resulting from their potential to facilitate low-cost and quick cross-border transactions. Nonetheless, their decentralized and borderless nature presents distinctive challenges for regulators and legislation enforcement companies globally as illicit actors attempt to leverage the expertise for his or her unlawful actions.
Blockchain analytical platform TRM Labs reported that the entire illicit funds within the crypto ecosystem shrunk by 99% year-on-year to $34 billion in 2023.
Addressing crypto-related crimes
So, the Bilateral Liaison Group will function a joint platform the place each international locations can share intelligence, develop coordinated methods, and implement actions to disrupt illicit monetary networks.
Additional, the platform’s focus will embrace strengthening investigative capabilities, enhancing intelligence alternate, boosting regulatory cooperation, and fostering public-private partnerships.
By this group, each international locations intention to ascertain regulatory frameworks, implement superior monitoring instruments, construct legislation enforcement capability, and promote public consciousness. Utilizing blockchain analytics and different expertise, they intend to trace and examine crypto transactions linked to prison exercise.
Moreover, the partnership will embrace coaching for Nigerian legislation enforcement and initiatives to coach the general public on crypto-related points.
A profitable consequence for the Bilateral Liaison Group might permit the US to type related partnerships with different nations.
