The Financial Crimes Enforcement Network (FinCEN), along with the Federal Banking Agencies, released a joint statement in December 2018 emphasizing financial institutions’ need to embrace technology to strengthen their BSA/AML programs. It seems FinCEN took its own advice as they announced the appointment of Michael Mosier as Deputy Director and Digital Innovation Officer, the first in the history of the agency. Mosier will oversee FinCEN’s work to protect the financial integrity and national security of the United States by advancing the agency’s engagement with new technologies within the financial industry.
Emerging technologies and financial innovation have been at the forefront of the anti-money laundering and anti-financial crimes community for several years. The joint statement released in December 2018 encouraged the financial industry to pursue innovative technologies as applied to AML compliance, including the adoption of artificial intelligence. FinCEN recognizes that innovation can help the banking industry identify and report money laundering, terrorist financing, and other illicit financial activities. The agency encourages and welcomes innovation to improve efficiencies in areas such as risk identification, transaction monitoring, and suspicious activity reporting while maintaining strong BSA/AML programs.