Senator Warren’s New Legislation Goes After Crypto Services and Private Bitcoin Wallets – Mish Talk

Please note that a bipartisan bill to crack down on crypto money laundering is in the works.

The legislation would

• Direct the Financial Crimes Enforcement Network (FinCEN) of the Treasury Department to designate digital asset providers, miners, validators and others as money services businesses.
• Extend the responsibilities of the Bank Secrecy Act to the crypto industry, including Know-Your-Customer (KYC) requirements.
• Direct FinCEN to finalize and implement a rule proposed in 2020 that would require banks and money services companies to verify customer and counterparty identifications, maintain records, and file reports related to wallets not hosted or in jurisdictions that do not comply with the Bank Secrecy Act.
• Prohibit banks and other financial institutions from using or conducting transactions with anonymity-enhancing technologies such as digital asset mixers and from handling or trading in digital assets that have used these technologies.
• Expand the bank secrecy rules for reporting foreign bank accounts to include digital assets by requiring Americans who engage in digital asset transactions of more than $10,000 through offshore accounts to file a report with the Internal Revenue Service.
• Crack down on ATMs with digital assets by ensuring operators and administrators submit and update the physical addresses of their kiosks