U.S. Senator Elizabeth Warren introduces Bill To. "crackdown" Bitcoin and cryptocurrency
Today, U.S. Senator Elizabeth Warren introduced legislation to address concerns surrounding the alleged misuse of digital currencies in illicit activities, citing money laundering, drug trafficking, sanctions evasion, and more.
The bill, which has the support of a coalition within the Banking Committee, marks a significant push to strengthen oversight and regulation within the Bitcoin and cryptocurrency space. Senator Warren addressed the risks associated with cryptocurrencies, stressing that digital currencies are used as a vehicle for criminal activity and that this must be addressed through a rigorous regulatory framework.
“Treasury believes that terrorist groups, rogue states, drug lords, ransomware gangs and fraudsters can launder billions of dollars in stolen funds, evade sanctions, fund illicit weapons programs and profit from destructive cyberattacks. There is,” Warren said. “I am pleased that five new senators, including three members of the Banking Committee, are joining the fight to take action. Our bipartisan bill is the toughest proposal yet to crack down on the illicit use of cryptocurrencies and give regulators more tools. ”
Senator Warren’s bill would expand Bank Secrecy Act (BSA) responsibilities, including know-your-customer (KYC) requirements, and mandate more stringent reporting requirements, including filing reports for “transactions involving non-hosted wallets.” aims to do so. It’s all an attempt to “close loopholes and increase the level of compliance in the digital asset ecosystem.”
The bill has been endorsed by Bank Policy Institute, Massachusetts Bankers Association, Transparency International US, Global Financial Integrity, National District Attorneys Association, Major County Sheriffs of America, Massachusetts Sheriffs’ Association, AARP, National Consumer Law Center and National Consumers League.
The proposed legislation comes at a time when Bitcoin’s popularity and adoption has surged globally, especially in the United States. Next month, the Securities and Exchange Commission (SEC) must decide whether to approve America’s first Bitcoin exchange-traded fund (ETF), which, if approved, could lead to massive institutional and retail demand for BTC.
Last Thursday, Senator Warren went live on CNBC and claimed that North Korea is using Bitcoin and cryptocurrencies to finance nearly half of its nuclear weapons program.
