Trade-based Money Laundering: general methodologies Is smart contract blockchain technology a possible solution?

Abstract

Abstract This research dissertation is focus on exploration of Trade-Based Money Laundering (“TBML”) as a kind of money laundering method and as an emerging risk area towards banks and other financial institution. The interest of this research project arose while having engagements and projects on banks’ trade-finance business, while after taking a preliminary reading and work experience in Anti-Money Laundering (“AML”) and Know-Your Client (“KYC”) work. The area of TBML research is still under limitation as current literature and academic research publications is still focus on traditional cash-based money laundering methodologies and business cases, while the TBML research is still under development. Currently more publications, including industry and academic publications, had provided more insights on new and complex money laundering methods within shipping and logistics sectors, which is a focus of TBML. Meanwhile, TBML also have raised regulatory concerns around the globe with whilst some examples and simple methodologies in some of the research reports, especially within the Asia Pacific region. This could show the actual situation of how severe money laundering using TBML methods in the globe. <strong>Keywords: </strong>Trade-based Money Laundering, smart contract blockchain technology, blockchain technology, Anti-Money Laundering,