US Treasury Seeks Public Comments on Crypto-Related Illicit Finance and National Security Risks

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US Treasury Seeks Public Comments on Crypto-Related Illicit Finance and National Security Risks

The U.S. Department of the Treasury is searching for public enter on “digital-asset-related illicit finance and nationwide safety dangers.” The division warned: “The rising use of digital belongings in monetary exercise heightens dangers of crimes comparable to money laundering, terrorist and proliferation financing, fraud and theft schemes, and corruption.”

US Treasury Wants Public Comments on Crypto-Related Illicit Finance

The U.S. Department of the Treasury printed a notice Tuesday inviting “ members of the general public to offer enter pursuant to The Executive Order of March 9, 2022, ‘Ensuring Responsible Development of Digital Assets.’” The discover provides:

The division invitations feedback on the digital-asset-related illicit finance and nationwide safety dangers in addition to the publicly launched motion plan to mitigate the dangers.

“Treasury welcomes enter on any matter that commenters imagine is related to Treasury’s ongoing efforts to evaluate the illicit finance dangers related to digital belongings in addition to the continued efforts to mitigate the dangers,” the discover provides. Comments have to be acquired on or earlier than Nov. 3.

“The rising use of digital belongings in monetary exercise heightens dangers of crimes comparable to money laundering, terrorist and proliferation financing, fraud and theft schemes, and corruption,” the Treasury detailed. “These illicit actions spotlight the necessity for ongoing scrutiny of the usage of digital belongings, the extent to which technological innovation might affect such actions, and exploration of alternatives to mitigate these dangers by way of regulation, supervision, public-private engagement, oversight, and regulation enforcement.”

The Treasury requested solutions to an inventory of questions regarding illicit finance dangers referring to digital belongings, non-fungible tokens (NFTs), decentralized finance (defi), and peer-to-peer applied sciences.

The questions focus on illicit finance dangers; anti-money laundering and countering the financing of terrorism (AML/CFT) regulation and supervision; world implementation of AML/CFT requirements; non-public sector engagement and AML/CFT options; and central financial institution digital currencies (CBDCs).

One of the questions asks how the Treasury can “most successfully assist constant implementation of worldwide AML/CFT requirements throughout jurisdictions for digital belongings.” In addition, the Treasury requested whether or not there are particular international locations or jurisdictions the place the U.S. authorities ought to focus its efforts “to strengthen overseas AML/CFT regimes associated to digital asset service suppliers.” The full record of questions will be discovered here.

What do you assume about the U.S. Treasury searching for feedback on crypto-related illicit finance? Let us know within the feedback part beneath.


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