FATF introduces new AML test targeting DeFi's decentralized classification

On August 11, 2026, the Financial Action Task Force (FATF) introduced a new anti-money laundering (AML) test. This regulatory initiative specifically targets the 'decentralized' label and classification of decentralized finance (DeFi) platforms. The new test aims to scrutinize whether these DeFi platforms genuinely qualify as decentralized under global AML compliance standards, challenging the industry's self-classification.

FATF AML testing framework

• ▪The Financial Action Task Force (FATF) introduced a new anti-money laundering (AML) test targeting the 'decentralized' label of decentralized finance (DeFi) platforms on August 11, 2026.
• ▪The Financial Action Task Force (FATF) anti-money laundering (AML) test aims to scrutinize and challenge the decentralized classification of decentralized finance (DeFi) protocols.