Anti-Money Laundering (AML) Compliance refers to the processes and measures that businesses, particularly in the financial sector, implement to prevent illegal activities related to money laundering. In the cryptocurrency space, this involves monitoring transactions and customer activities to detect and report suspicious behavior.As cryptocurrencies can offer anonymity, they can also attract illicit actors. To combat this, exchanges and wallet providers often employ Know Your Customer (KYC) policies. This requires them to verify the identities of their users, ensuring that they are not facilitating criminal activities.Additionally, businesses must maintain comprehensive records of transactions and report any suspicious activities to relevant authorities. This helps in tracing the source of funds and adhering to legal regulations. Overall, AML compliance aims to enhance transparency, reduce risks, and promote confidence in the cryptocurrency ecosystem while aligning with global regulatory standards.