US Federal Reserve and FinCEN Propose Tightening Tracking of Cryptocurrency Transactions

Federal Reserve and Combating Crime Crime Network (FinCEN) proposed to reduce the threshold of registration of money transfers outside the United States, including for cryptocurrency transactions.

According to the document, US Federal Reserve and FinCen offer to change threshold values, in which banks must collect and store information on money transfers. Regulators propose to reduce this value with $3 000 to $250 For any translations outside the United States. The proposal will also expand the definition of "money", which will include cryptocurrencies.

The Fed will accept public comments during 30 days after the publication of proposals in the federal register. Private persons can send reviews online or by e -mail. Note, that although cryptocurrencies do not have the status of a legal payment fund, According to the proposal, they can still be used to transfer the cost:

“As a rule, cryptocurrencies can be exchanged instantly anywhere in the world through payment P2P systems, which allow any two sides to make transactions directly with each other without the need for an intermediary financial institution. However, in practice, many people keep and transfer cryptocurrencies, Using a financial intermediary, eg, "Wallet" or "Exchange".

The document shall indicate illegal transactions using cryptocurrencies, including translations of a group of hackers from North Korea Lazarus. Recall, that in the spring Ciphertrace has published a detailed analysis of that, How Lazarus hackers laundered stolen cryptoacities on more than $100 million, Bypassing KYC checks on cryptocurrency exchanges.

According to the documents of FINCEN, published last month, BNY Mellon Bank has processed transactions on $137 Milln for organizations, related to the cryptocurrency pyramid onecoin.

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