Cryptoasset Anti-Financial Crime Specialist (CCAS) Certification Practice Test

According to the Financial Action Task Force's recommendations, what is the threshold for occasional transactions?

1. US$1,000

2. US$3,000

3. US$5,000

4. US$10,000

The correct answer is: US$1,000

The appropriate threshold for occasional transactions, according to the Financial Action Task Force (FATF) recommendations, is indeed set at US$1,000. This threshold is significant because it establishes a benchmark for compliance obligations that financial institutions and related entities must consider when assessing the nature of transactions. Occasional transactions are those that do not occur regularly, and this lower threshold aims to capture a broader spectrum of activity that may be deemed suspicious or require enhanced scrutiny. By setting this threshold at US$1,000, the FATF emphasizes the importance of monitoring these transactions to prevent potential money laundering and terrorist financing, even if they are not as frequent as routine transactions. Higher thresholds exist for different types of activities or jurisdictions, but for occasional transactions specifically, US$1,000 is the standard that institutions align with to ensure compliance with anti-money laundering regulations.