In an effort to combat money laundering and terrorist financing, the U.S. Securities and Exchange Commission (SEC) and the Financial Crimes Enforcement Network (FinCEN) have announced a new regulatory proposal targeting the investment adviser sector. This proposal requires SEC-registered investment advisers (RIAs) and exempt reporting advisers (ERAs) to establish thorough Customer Identification Programs (CIPs) to enhance their anti-money laundering (AML) and countering the financing of terrorism (CFT) efforts. This move marks a significant step towards bolstering regulatory oversight and protecting the financial system from illicit activities.