In a new report, the U.S. Attorney General's Cyber-Digital Task Force laid out the enforcement framework for cryptocurrency. The report provided a detailed primer on: the process by which cryptocurrency is transferred; the various ways in which cryptocurrency may be used to facilitate terrorist or criminal activity, including tax evasion; the various agencies that have regulatory authority over cryptocurrency (and, in the case of the CFTC, derivatives on the currency) or, more generally, over money transfers; and the statutes under which criminal charges may be brought. Notably, the report singles out the State of New York as having been "one of the more proactive States to regulate and gather information in the virtual asset and [initial coin offering] space."
The report does not take a legal view of the technology generally, describing it as "rais[ing] breaking possibilities for human flourishing."
Commentary
This is not a discussion of the regulatory treatment of cryptocurrencies, although it makes passing mention of a number of regulatory initiatives. The report is primarily an overview of the uses of cryptocurrencies to make payments for various types of criminal activities, and of the efforts of enforcement and regulatory authorities to stop such payments.
Primary Sources
- DOJ Press Release: Attorney General William P. Barr Announces Publication of Cryptocurrency Enforcement Framework
- Attorney General's Cyber-Digital Task Force Report: Cryptocurrency Enforcement Framework
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