Exchange of Crypto Information in the ‘Pre-AEOI Phase’: Can Non-CARF Countries Use Group Requests to Obtain Information from Foreign CASPs?

The article examines the use of ‘group requests’ by countries to obtain information on crypto assets held by their residents through foreign Crypto Asset Service Providers (CASPs). With information exchanged under the OECD’s Crypto Asset Reporting Framework (CARF) set to commence in 2027, many Global South nations remain uncommitted due to administrative constraint. Many of these countries host significant domestic crypto markets. The author proposes that group requests can serve as a powerful alternative to ‘mimic’ the compliance effects of automatic exchange of information (AEOI) under the CARF. The study outlines a practical methodology for executing these requests. It begins by identifying how countries can overcome the lack of comprehensive macroeconomic data on cross border crypto activities. Countries can use the methodology developed by the Financial Action Task Force (FATF) methodology to identify relevant CASP jurisdictions. It then details the conditions for validity under the OECD’s ‘foreseeable relevance’ standard, ensuring requests are not dismissed as illegal ‘fishing expeditions’. Finally, the article analyses the legal viability of basing such requests on bilateral tax treaties, tax information exchange agreements (TIEAs), and the Multilateral Convention (MAAC). The article concludes by providing a checklist for a successful use by tax authorities of crypto group requests.