Brian Nelson, U.S. Treasury Department’s nominee for the head of terrorism and financial intelligence, announced he would focus on crypto-related regulations.
He said this in a statement at the Senate confirmation hearing and made it clear that he would focus on cases related to violations of anti-money laundering laws using cryptocurrencies.
At the Senate confirmation hearing, Nelson was asked about the Anti-Money Laundering Act of 2020 and he said that if he would be officially confirmed, regulating currencies, especially the crypto ones, would be under his close watch.
Rising crypto-related crimes
Big-time crypto-related crimes have happened in the U.S. recently, which raises concerns about the cryptocurrencies’ security risks.
In light of the recent incidents which utilized cryptocurrencies as a tool to execute crimes, the Biden administration responded by creating a cryptocurrency regulatory framework.
Authorities in the U.S. are expressing concerns about the massive potential of cryptocurrencies to be used as a prime tool to commit crimes remotely.
Recently, JBS, the world’s largest meat processor, and Colonial Pipeline, a refinery giant, were attacked by hackers who demanded the two companies to pay ransom in the form of cryptocurrency.
In the case of Colonial Pipeline, authorities have recovered a large amount of the paid ransom, but the two incidents have proved that criminals are now considering cryptocurrencies as a viable tool to remain anonymous.
Facing tough regulations
With these recent incidents and other crypto-related crimes, the cryptocurrency industry is currently facing tough regulations in various parts of the world including China, Canada, the UK, and the U.S.
Regulatory bodies are intensifying their restrictions and crackdowns to prevent “crypto crimes” from further rising and getting out of control.
Image courtesy of Cointelegraph News/YouTube