Rage Weeky 022: 31 Reasons Why AML Is Retarded

Rage Weekly is a weekly linkdump bringing the best content on financial surveillance and beyond directly to your inbox. Subscribe for free or read all issues online.

Rage Weeky 022: 31 Reasons Why AML Is Retarded
Fake IDs advertised in an Iranian Telegram Channel | source: TRM Labs

Tornado Cash is not a financial institution but still falls under MSB licensing, says judge

You'd think this would be important, but apparently it isn't?

That would be an "incorrect" interpretation of the law, says Paradigm

SDNY is afraid witnesses will blow up their nonsense prosecution (as they should be)

When all else fails, blow up the banks

Predatory Sparrow hacks Iran's Sepah Bank and deletes all data

Predatory Sparrow hacks Iran's Nobitex exchange and burns $90M

Predatory Sparrow releases Nobitex source code, exposing remaining assets

Predatory Sparrow threatens other financial institutions

Predatory Sparrow is definitely not Israel

Elliptic identifies two whole sanctioned individuals on Iran's "favorite sanctions evasion tool"

Which would be less than 0.077% of all incoming funds on Nobitex

IRGC bros also up on Kraken

and Binance

and Bitpanda

Turns out 80% of funds sent to Iran comes from "global exchanges"

Timothy Massad in disbelief

So how do Iranians sign up to "global exchanges"? With fake IDs

And where do you get a fake ID? You buy it on the dark web from people who hacked KYC databases

Or you have someone sell you their verified account

Or you get one made with AI

Laz sums this up nicely

Surely this problem will go away if we throw digital identities at it

What a great idea, say Massad, as long as it has ZKPs

You know, like World Coin does!

Because that totally doesn't incentivize people to start farming eyeballs

And get sued in Argentina

And banned in Brazil

And banned in Spain

And ratified in Germany

Meanwhile

Anyway, that's it for this week, check back next sunday for more AML nonsense

Independent journalism does not finance itself. If you enjoyed this article, please consider making a donation.