Anti-money laundering (AML) refers to a set of laws and regulations designed to prevent the process of making illegally obtained money appear legitimate. This involves monitoring financial transactions to identify suspicious activities that may indicate money laundering, which is often linked to criminal activities such as drug trafficking or fraud. Financial institutions, such as banks and credit unions, are required to implement AML programs that include customer identification, transaction monitoring, and reporting suspicious activities to authorities. By enforcing these measures, AML aims to protect the integrity of the financial system and reduce the risk of crime and corruption.