Money Laundering in the Age of Cybercrime and Emerging Technologies

Abstract

Historically, money laundering has been the financial crime of most significant interest in the international sphere due to the abrupt amounts of money it involves, the damage it causes to the institution’s reputation, and the government spending to combat it. Numerous international organizations, such as the Financial Action Task Force (FATF) and the United Nations (UN), stipulate standards and norms to regulate its prevention and detection. With the emergence of the 4th industrial revolution, technologies such as artificial intelligence, the Internet of Things (IoT), intelligent apps, cloud computing, and cybersecurity play roles in opposite directions in committing and combating money laundering. While artificial intelligence provides innovative models and algorithms capable of predicting money laundering activity, the Internet of Things and intelligent apps seem to create new means for cyber money laundering where cybersecurity comes as a mitigating measure. Bearing this in mind, the current chapter presents an overview of the impact of emerging technologies and cybercrime in executing and fighting against money laundering.