Field Fisher Waterhouse on 23rd September published an article which examines some of the more common legal and practical issues faced by businesses in the cryptocurrency and payment platform sectors and discuss the latest thinking on how to overcome these obstacles. It says that KYC and AML feature prominently at the top of most of the lists of concerns for regulated companies looking to participate in or use cryptocurrencies. It asks how can AML/KYC be controlled on secondary markets? It says that, technically, it is relatively straight-forward to KYC and AML-screen cryptocurrency investors at the point of investment. But when crypto assets enter a secondary market and become tradeable on an exchange or off exchange in the over the counter (OTC) market, it becomes much more difficult for an issuer to keep a register of where these assets have gone. It suggests the use of the WeChat system used in China as a model. The article also looks at the question for initial coin offerings (ICO) – a method of fundraising using cryptocurrencies – whether a cryptocurrency is a fund or a security. The article concludes that there is still a long way to go before crypto services become mainstream, trusted financial mechanisms, and regulatory challenges related to ICO remain among the murkiest in the cryptocurrency sector. As for AML and KYC challenges, these are perhaps more easily solved than some of the other issues facing the crypto sector, it says, as they are essentially educational, rather than technical challenges.