FATF

Anonymity-enhancing assets or unattributed transfers are barred outright, or barred for regulated firms.

What FATF actually says

Nothing else in this section has as much reach. FATF sets standards rather than law, but the mutual evaluation process and the grey list make adoption close to compulsory, which is why the same travel rule appears in every jurisdiction below. Recommendation 15 brought virtual assets into scope in 2018, and its interpretive note carries the transfer threshold. The July 2026 targeted update found peer-to-peer transfers through self-hosted wallets treated as high risk in 88% of responding jurisdictions. Two things cut the other way and are usually missed: the 2025 revision of Recommendation 16 is not applied directly to virtual asset providers, and FATF's own July 2026 report on information sharing concludes that data protection law, not technology, is the main barrier to cooperation.

What this means for confidential transactions

Bubble is built for exactly this shape of obligation: amounts and balances live on chain as ciphertexts, computation happens without decryption, and the only disclosure path is an on-chain access list through which an authorized party - an auditor, a supervisor, a counterparty - can request scoped decryption. That is confidentiality from the public, not from the regulator.