Head of FinCEN, USA: Anyone must abide by the Anti-Money Laundering Act (AML), and the stable currency is no exception.

According to recent media reports, Kenneth Blanco, director of the US Financial Crimes Enforcement Network (FinCEN), delivered a speech at Georgetown University, clearly stating that anti-money laundering (AML) laws apply to everyone.

Crime-4512294_1280

Image source:

On October 21st, the banking trade publication American Banker reported that Blanco said that financial technology companies that provide cryptocurrency users anonymity must comply with anti-money laundering laws, “just like everyone else’s. ".

Blanco emphasizes responsibility and Bank Secrecy Act

Blanco seems to point his comments to an anonymous cryptocurrency payment system that can hide criminal activity or make users anonymously commit crimes.

In his speech, the head of the FinCEN pointed out the main goal of the anti-money laundering policy, which is to obtain information about who is involved in the payment transaction. He said:

"There is a reason you need to know… someone on the other side of the transaction – they may be engaged in some kind of illegal activity. Whether it is an opioid… or another person's smuggling… you want to know who that person is."

Blanco told the audience that it is not difficult to get this information. He added:

“We only ask for name, address, account number, transaction, payee and amount.”

“So when you tell me that you don’t know where the other person is, you will have a big problem. Because you have to know, this is what we expect.” Earlier this month, the presidents of the three major US financial regulators issued a joint statement warning the AML of cryptocurrency users and the obligation to combat the financing of terrorism, reminding cryptocurrency companies to comply with the Bank Secrecy Act (BSA). Blanco said this:

"Your BSA obligations will still exist […] Whether you are a stable currency, centralized or decentralized – it doesn't matter. You still have to be able to comply."

Although Blanco did not mention Facebook's Libra stable currency, he did make it clear that there is no difference between FinCEN and any other type of cryptocurrency.

FinCEN is instructed by Congress to study blockchain technology

According to previous reports, the US House of Representatives passed a bill calling on FinCEN to study blockchain technology to combat financial crime. The bill requires FinCEN director Kenneth Blanco to research emerging technologies such as blockchain technology in FinCEN.

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

Share:

Was this article helpful?

93 out of 132 found this helpful

Discover more

Blockchain

The data is good for the stock market of the sudden market: Which is the liquidity of the exchange?

This paper analyzes and compares the liquidity of major exchanges on April Fool's Day. In the short time from 12...

Blockchain

On the line in March, the daily trading volume broke through 100 million, and the FTX exchange that turned out to be so hot is so hot?

The huge potential of the derivatives market is beyond doubt. Mark Lamb, CEO of CoinFLEX, recently predicted that by ...

Opinion

Unveiling SBF's Defense Draft of up to 250 pages I did what I believed was right.

In the draft, SBF traced his development history, from his childhood in Palo Alto to the penthouse apartment he purch...

Opinion

Checklist of 9 popular cryptocurrencies virtual credit cards

Cryptocurrency virtual credit cards launched by cryptocurrency exchanges (such as Binance) allow for consumption and ...

Blockchain

In those years, the traditional financial sponsorship system practiced on the trading platform

This article is probably: 6900 words Reading needs: about 13 minutes (Deep long text, it is recommended that the coll...

Blockchain

A number of exchanges will openly call the FATF proposal at the G20 opening meeting

The G20 summit of the G20, which everyone is paying attention to, will be held on June 28 and 29, 2019 in Osaka, Japa...