How susceptible is Bitcoin to being used for money laundering, and what measures are in place to prevent and detect illicit activities involving cryptocurrencies?

(This question addresses the concerns about the potential for Bitcoin and other cryptocurrencies to facilitate money laundering due to their perceived anonymity and decentralized nature. It also prompts discussion about the regulatory frameworks and technological solutions aimed at mitigating these risks within the cryptocurrency ecosystem).

How will i interpret the problem statement? What regulation, case law can be used to awnser this question?