Understanding Money Laundering

Money laundering involves the process of making illicitly obtained funds appear legitimate through various techniques. It typically includes three stages: placement, layering, and integration. During placement, illicit cash is introduced into the financial system; layering then obscures the source of the money through complex transactions, and finally, integration establishes the funds as clean by converting them into assets or investments. This intricate process has evolved with technological advancements, as criminals now employ more sophisticated methods beyond the traditional cash-based approaches.