Bank Policy Institute Supports Elizabeth Warren's Push for Stricter Crypto Rules
The Bank Policy Institute (BPI), an organization that advocates for the banking industry in the US, has publicly backed Senator Elizabeth Warren's efforts to tighten regulations for cryptocurrencies.
Warren, along with three other senators, has recently reintroduced the Digital Asset Anti-Money Laundering Act, which aims to enforce tougher rules in combating money laundering and terrorism financing within the crypto industry.
Now, the BPI, which is often criticized by Warren, has voiced support for the bipartisan legislation, according to a Friday report from Bloomberg.
“The existing anti-money laundering and Bank Secrecy Act framework must account for digital assets, and we look forward to engaging in this process to defend our nation’s financial system against illicit finance in all its forms,” BPI said in a statement.
The proposed seven-page bill, if passed, would require digital-asset wallet providers, miners, and other blockchain validators to maintain records of customer identities.
Additionally, financial institutions would be prohibited from utilizing digital asset mixers designed to obfuscate blockchain data, such as Tornado Cash.
Warren, along with Democrat Joe Manchin from West Virginia, and Republicans Roger Marshall from Kansas and Lindsey Graham from South Carolina, announced the reintroduction of the bill on Friday.
In addition to customer identity tracking, the legislation would also prompt the Treasury Department, Securities and Exchange Commission, and Commodity Futures Trading Commission to establish new examination processes to ensure compliance with AML and terrorism financing requirements.
The Massachusetts Bankers Association, AARP, the National Consumer Law Center, and the National Consumers League
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