Anti-Money Laundering (AML) refers to laws and regulations designed to prevent criminals from generating or moving illicit funds. Key targets include tax evasion, corruption, and market manipulation methods like wash trading.

In traditional finance, agencies such as the SEC and CFTC in the U.S. enforce AML standards through acts like the Bank Secrecy Act (1970), Money Laundering Control Act (1986), and USA PATRIOT Act (2001).

AML is closely tied to Know Your Customer (KYC), which verifies customer identities and monitors transactions. In crypto, exchanges increasingly adopt AML and KYC measures—sometimes even self-regulating—to meet compliance requirements, protect against legal risks, and promote broader adoption.

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