Bipartisan Group Introduces Bill Aimed at Preventing Crypto-Funded Crime
Image courtesy of 123rf.

Bipartisan Group Introduces Bill Aimed at Preventing Crypto-Funded Crime

A new bill is seeking to crack down on cryptocurrency-funded terrorism, and digital assets-enabled money laundering with a multi-agency working group.
Neither the author, Tim Fries, nor this website, The Tokenist, provide financial advice. Please consult our website policy prior to making financial decisions.

The Office of Representative Zach Nunn today unveiled a new bipartisan bill that is seeking to further regulate digital assets by helping prevent their use by criminals while protecting Americans wishing to lawfully engage with cryptocurrencies. The document’s main goal is the creation of a multi-agency and multi-company workgroup “help combat terrorism and illicit financing on digital platforms”.

New Bill Seeks to Create Workgroup to Crack Down on Crypto-Funded Crime

This Thursday, a bill backed by bipartisan groups in both Congress and Senate aimed at further curtailing illicit use of cryptocurrencies was unveiled. The bill is being introduced by Representatives Zach Nunn and Jim Himes in Congress and by Senators Kirsten Gillibrand and Ted Budd in the Senate. 

It is aimed a creating a multi-agency working group that would help track and prevent various forms of cryptocurrency-related crime such as money laundering and the financing of terrorism. The group is also proposed to contain individuals from companies operating in relevant industries such as Financial technology companies, blockchain intelligence companies, financial institutions, and institutions or organizations engaged in research.

According to Representative Zach Nunn, the bill is also aimed at protecting regular Americans wishing to engage with digital assets in a lawful way. The Congressman also stated that the bill will help safeguard the security of the US and protect individual freedoms while ensuring “the long-term integrity of digital assets.”

Join our Telegram group and never miss a breaking digital asset story.

US’ Slow Race to Regulate Digital Assets

The United States has been seeking to regulate digital assets while cracking down on cryptocurrency-related crime for many years. Despite these efforts, both national and international, both the watchdogs and the legislators have been accused of draging their feet when it comes to the industry thus harming both innovation and investors in the country.

The Securities and Exchange Commission has been criticized by digital assets companies for acting in a very aggressive manner toward the industry while failing to offer any proper regulatory guidance to firm with a commitment to remaining compliant. The White House, on the other hand, has spoken positively about regulators’ efforts but rebuked Congress for its tardiness in passing relevant laws. 

While some attempts to create a legal framework for digital assets at the federal level—like this Thursday’s bill—have been made, individual states are the ones taking the lead so far. Numerous states have passed laws protecting the rights of cryptocurrency miners in 2023 alone the latest one being Arkansas. On the other hand, some states like Texas have taken the opposite approach and are seeking to diminish protections offered to such operations.

Finance is changing.
Learn how, with Five Minute Finance.
A weekly newsletter that covers the big trends in FinTech and Decentralized Finance.

Do you think a working group like the one proposed in the bill could make digital assets safer for everyday investors? Let us know in the comments below.