Five more senators have joined a group of those who support the Digital Asset Anti-Money Laundering Act.
The Senate is showing continued support for Senator Elizabeth Warren’s measure, which aims to restrict the use of cryptocurrency for illegal purposes.
Five new senators have joined the group in support of the Digital Asset Anti-Money Laundering Act. Three of them are members of the Senate Banking Committee.
In a press release, Warren expressed her gratitude for the addition of five senators, three of whom are members of the Banking Committee. She went on to say that their bipartisan bill is the most aggressive proposal currently being considered, with the goal of reducing the illegal use of cryptocurrency and providing regulators with additional tools.
Groups such as Global Financial Integrity, Transparency International US, the Bank Policy Institute, and the Massachusetts Bankers Association have all given their stamp of approval to the bipartisan measure.
More regulation of the cryptocurrency business is one goal of the measure, which seeks to reduce its use in criminal activities including drug trade, money laundering, and sanctions evasion. Crypto supporters believe that the measures in question damage crypto in general and not only criminal use of it.
All network parties involved in digital asset transactions, including non-custodial wallet providers, miners, validators, and the Bank Secrecy Act’s Know-Your-Customer requirements, would be subject to the bill’s proposed extension.
The director of research at Galaxy Asset Management, Alex Horn, said that Warren’s plan would essentially ban cryptocurrency in the United States because “non-custodial and decentralized software cannot properly perform centralized compliance functions.”
The Financial Crimes Enforcement Network (FinCEN) would be responsible for verifying the identities of customers and counterparties, as well as ensuring that owners and administrators of digital asset ATMs publish and update the physical locations of their kiosks. The measure also suggests expanding the Bank Secrecy Act (BSA) regulations to include digital assets.
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