A Global Standard For Secure Fund Transfers

​

The FATF Travel Rule - formally known as Recommendation 16 - serves as a cornerstone of global AML and CTF efforts. First introduced to cover wire transfers between financial institutions, the rule mandates that key information about the originator and beneficiary of a transaction must "travel" with the funds. Its purpose is simple but powerful: to ensure that law enforcement and regulators can trace illicit finance across borders and payment networks.

​

Since its inception, the Travel Rule has been embedded in the regulatory frameworks of FATF member states, forming the basis of obligations for banks, PSPs, and more recently, virtual asset service providers (VASPs). FATF’s 2019 update extended the rule to cover cryptocurrency transfers, prompting a wave of legislative and technical developments worldwide.

​

This page explores the principles behind the rule, the international obligations it creates, and how jurisdictions are adapting in both traditional finance and digital asset sectors. Whether you are navigating compliance, shaping policy, or building cross-border infrastructure, understanding the Travel Rule is essential to meeting the demands of a modern, risk-resilient financial system.