SoK: Web3 RegTech for Cryptocurrency VASP AML/CFT Compliance
Research Paper#Web3 RegTech, Cryptocurrency, AML/CFT Compliance🔬 Research|Analyzed: Jan 3, 2026 06:23•
Published: Dec 31, 2025 14:31
•1 min read
•ArXivAnalysis
This paper provides a systematic overview of Web3 RegTech solutions for Anti-Money Laundering and Counter-Financing of Terrorism compliance in the context of cryptocurrencies. It highlights the challenges posed by the decentralized nature of Web3 and analyzes how blockchain-native RegTech leverages distributed ledger properties to enable novel compliance capabilities. The paper's value lies in its taxonomies, analysis of existing platforms, and identification of gaps and research directions.
Key Takeaways
- •Web3 technologies pose unique challenges for AML/CFT compliance due to their decentralized nature.
- •Blockchain-native RegTech leverages distributed ledger properties for novel compliance capabilities.
- •The paper provides taxonomies for organizing the Web3 RegTech domain.
- •The analysis reveals gaps between academic innovation and industry deployment.
- •The paper identifies research directions to address these gaps while respecting Web3 principles.
Reference / Citation
View Original"Web3 RegTech enables transaction graph analysis, real-time risk assessment, cross-chain analytics, and privacy-preserving verification approaches that are difficult to achieve or less commonly deployed in traditional centralized systems."