CBCP CBCP Blockchain Governance and Regulation 2

Question 1

What does KYC (Know Your Customer) compliance require blockchain businesses to collect?

Accepted Answer

Verified identity information such as government-issued ID

Answer

Only email addresses of users

Answer

Users' private keys

Answer

Transaction hash histories only

Question 2

Which US regulatory framework requires financial institutions, including some crypto businesses, to file Suspicious Activity Reports (SARs)?

Accepted Answer

Bank Secrecy Act (BSA)

Answer

Sarbanes-Oxley Act

Answer

Gramm-Leach-Bliley Act

Answer

Dodd-Frank Act

Question 3

What is a 'regulatory sandbox' in the context of blockchain innovation?

Accepted Answer

A controlled environment where startups can test products with relaxed regulations

Answer

A testing environment for smart contract code

Answer

A secure vault for storing digital assets

Answer

A government-approved blockchain network

Question 4

Under US FinCEN guidance, a business that transmits value using cryptocurrency is classified as a:

Accepted Answer

Money Services Business (MSB)

Answer

Registered Investment Advisor

Answer

Commodity Pool Operator

Answer

Transfer Agent

Question 5

Which international body sets global AML and counter-terrorism financing (CTF) standards that many countries apply to crypto?

Accepted Answer

FATF (Financial Action Task Force)

Answer

World Bank

Answer

IMF

Answer

BIS (Bank for International Settlements)

Question 6

What does the FATF 'Travel Rule' require of Virtual Asset Service Providers (VASPs)?

Accepted Answer

To share sender and recipient information for transactions above a threshold

Answer

To record the geographic location of miners

Answer

To report all transactions to Interpol

Answer

To restrict cross-border crypto transfers