Nepal combats cryptocurrency fraud through public awareness and transaction monitoring

The Financial Intelligence Unit (FIU) of Nepal has found that despite the official ban on trading in digital assets, cryptocurrencies are still widely used to plan online fraud. The financial intelligence unit is a specialized department of the Nepal Rastra Bank, the central bank of Nepal, responsible for monitoring and combating financial fraud, including money laundering and terrorism financing.

In its "Strategic Analysis Report" released on November 18, the financial intelligence unit pointed out that the use of cryptocurrencies for money laundering by criminals has increased. The report states that scammers convert illegal funds into cryptocurrencies, which poses a challenge for authorities to track and recover the funds.