2024 US Defense Bill Removes Encryption Regulations from Legislation

US Defense Bill of 2024 Eliminates Encryption Restrictions in Legislation

Author: Jacob Oliver, translated by LianGuai哲夜

As the “2024 National Defense Authorization Act” enters its final voting stage, lawmakers have removed the encryption provisions from the bill.

The negotiators of this 2024 National Defense Authorization Act removed the encryption language for the convenience of passing through both houses, and it is about to be approved without any new cryptocurrency regulations.

Although this legislation retains broad provisions for existing security plans, it explicitly expands the regulatory scope to digital assets. This decision postpones any potential new cryptocurrency regulations to the future.

• A ghost of GPT (Generative Pre-trained Transformer) is wandering over Gemini.
• Chimpzee: Saving Animals and Making Money – A Match Made in Crypto Heaven
• Get Ready for the StarkNet Bonanza 1.8B STRK Tokens up for Grabs in User Rebates and Provisions’ Committee

According to the Senate Armed Services Committee, this bill omits an amendment from the Senate that would require the Secretary of the Treasury to establish a review process to assess financial institutions’ anti-money laundering controls and compliance in cryptocurrency.

Another rejected Senate proposal would have forced the Secretary of the Treasury to submit a report and briefing to congressional committees evaluating the technology supporting anonymous cryptocurrency transactions and other regulatory methods.

With cryptocurrency regulations on hold, the obstacles to passage by both houses of Congress have been lowered. However, the broad military policies remain unchanged, despite a lack of strengthened oversight of digital assets.

Focus on core defense priorities

The National Defense Authorization Act (NDAA) is a legislation passed by Congress every year to authorize funding for U.S. military and defense programs and establish policies. As one of the few major bills that become law on an annual basis, the NDAA sets the spending levels and management priorities for all branches of the armed forces and defense department agencies.

Because the bill is usually seen as a must-pass legislation, lawmakers often try to add additional provisions in its wording.

In contrast, negotiators focus solely on core military priorities. These measures include increasing troop wages, weapon upgrades, domestic surveillance expansion, semiconductor projects, naval shipbuilding plans, and similar defense policy provisions.

Military officials now hope to lock in $886 billion for these priorities while avoiding proposed asset transparency rules, but ultimately, it has been put on hold in lengthy consensus negotiations. It continues to implement the broad existing military policies without the proposed expansion of additional regulatory responsibilities for cryptocurrencies.

We will continue to update Blocking; if you have any questions or suggestions, please contact us!