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

To whom should a virtual asset service provider escalate identified suspicious transactions?

1. The board of directors

2. The General Counsel

3. The relationship manager

4. The AML officer

The correct answer is: The AML officer

The correct choice emphasizes the critical role that the Anti-Money Laundering (AML) officer plays in handling suspicious transactions within a virtual asset service provider. The AML officer is specifically trained and designated to oversee compliance with anti-money laundering regulations and to respond to potential financial crimes. When suspicious transactions are identified, it is the responsibility of the AML officer to conduct further investigation into those transactions, assess their risk, and determine whether the matter needs to be reported to the relevant authorities, such as financial intelligence units. The AML officer also ensures that all regulatory obligations are met and that appropriate measures are in place to mitigate any risks associated with financial crime. Engaging other parties, such as the board of directors or the General Counsel, is less direct in the context of immediate escalation and investigation of suspicious transactions. While the board may have a role in overarching compliance and risk management, and the General Counsel can provide legal guidance, they are not typically involved in day-to-day operational responses to suspected money laundering or related activities. The relationship manager likewise focuses on client interactions rather than compliance and investigative procedures. Therefore, escalating suspicious transactions to the AML officer is the most appropriate and effective course of action.