A bipartisan bill introduced Thursday in the U.S. Senate and House of Representatives calls on the federal government to study the use cases of cryptocurrencies in illicit activities and make recommendations on how to reduce such use.
The FinTech Protection Act, co-sponsored by Sen. Kirsten Gillibrand (DN.Y.), Ted Budd (RN.C.) and Rep. Zachary Nunn (R-Iowa), Jim Himes (D-Conn.), will create a task force Its mission is to study how cryptocurrencies and other new financial technologies are used by terrorists or other criminals and make recommendations to the U.S. Congress. States and regulators aim to crack down on such use.
According to first MP Nunn, the aim is to conduct analysis and develop a responsive regulatory structure. This measure has been introduced twice before.
“The reality is that the threat vectors are shifting to our adversaries, not only targeting cybercriminals but actually terrorists and gangs and even countries that are using money laundering. From buying weapons to trafficking people across borders to Buying fentanyl, everything is illegal.”
“The rapid evolution of the financial system requires increased attention to reduce risk and combat abuse,” Hymes, the ranking member of the U.S. House Intelligence Committee, said in a statement. It is used by terrorist groups.
I am pleased to support this task force, which will bring together senior members of the intelligence community and financial innovation experts with a shared mission to monitor illicit financing by financial institutions. poison”.
The bill comes ahead of three hearings held by the U.S. Financial Services Committee subcommittee and the U.S. House Agriculture Committee subcommittee, all of which focused on cryptocurrency or financial illicit aspects.
The team will include U.S. representatives from the Treasury Department, the Financial Crimes Enforcement Network (FinCEN), the Internal Revenue Service (IRS), the Office of Foreign Assets Control (OFAC), the FBI and the U.S. Attorney General. Department of Homeland Security, Department of Justice, State Department, and CIA.
If the bill is passed, industry representatives from other analyst firms, financial institutions, research institutes and fintech companies will also be named to the team.
Many of these companies already have their own methods of illicit financing, including working with law enforcement, but “the problem is pretty diffuse,” Nunn said. He hopes the bill will lead to a more unified approach by the industry to these issues.
The bill outlines several deadlines for the panel, such as an annual report and recommendations on the work the panel has done during the year, a final report four years after the bill was signed into law, and other interim documents.
The bill says Congress will be informed of the report’s findings.
The bill is separate from broader discussions in Congress on how cryptocurrencies should be regulated. Nunn noted that there are still jurisdictional issues between the U.S. Securities and Exchange Commission (SEC) and the U.S. Commodity Futures Trading Commission (CFTC), each of which reports to a different council.
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According to Coindesk