United States Treasury Secretary Janet Yellen Says "The misuse of cryptocurrencies is a growing problem
Janet Yellen, the new Secretary of the US Treasury, warned of "a growing problem" related to "the misuse of cryptocurrencies". She pointed out that “cryptocurrencies have been used to launder the profits of online drug traffickers; they have been a tool for financing terrorism. "
Janet Yellen warns of cryptocurrency risks
The US Treasury Department has organized its first round table on innovation policy for the financial sector on February 9 and 10. “The roundtable brought together policymakers and regulators with private sector experts to exchange views on working together on policy issues and innovative technologies,” the ministry said.
Treasury Secretary Janet Yellen spoke briefly about cryptocurrencies during her keynote address at the event. “We live in an explosion of risks related to fraud, money laundering, terrorist financing and data privacy. As the pandemic has moved life furtheronline crime has evolved with it, ”she said. One of the issues she raised concerns cryptocurrency.
Yellen said:
"Since my time at the Fed, I know the crucial role your institutions play in the fight against crimes like these," he said. -she declared to the participants in the event. “The private sector is investing enormous resources, finding ways to prevent bad actors from abusing existing technologies. You also develop new ones. "
When from his Senate confirmation hearing, Yellen caused a stir in the crypto community with saying that cryptocurrencies are " primarily intended for illicit funding. "However, a report by blockchain analysis firm Chainalysis showsthat only 0.34% of all Last year's crypto transactions were linked to criminal activity. Many also pointed out that the majority of money laundering activity is done through fiat currencies , in particular the US dollar.
Yellen then clarified his position on cryptocurrencies and pledged “ effective crypto regulation ”. Meanwhile, pro-bitcoin US Senator Cynthia Lummis has spoken to Yellen about cryptocurrencies and plans to convince the Secretary of the Treasury that bitcoin is " a great store of value ".
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