FIN to Provide Congress With Regulation Advice

Financial Integrity Network proposed US Congress to regulate the activities of crypto companies in accordance with the Banking Secrecy Act
03 September 2019   183

Strategic consulting company Financial Integrity Network (FIN) recommended that the US Congress create a new category of financial institutions in accordance with the Banking Secrecy Act (BSA) to regulate the activities of cryptocurrency companies. It is reported by The Block.

In particular, FIN proposes to highlight a new type of virtual asset service provider (VASP), which should be regulated depending on the features of the services they provide.

Some VASPs are currently regulated as money transmitters under the BSA. Others are not regulated at all. Even for those VASPs currently regulated as money transmitters, the regulations are insufficient to protect virtual assets from exploitation.

David Murray

Vice president for product development and services, FIN 

He is also convinced that tightening cryptocurrency regulation will force financial institutions to “be more cautious,” since the current system makes “isolating fraudulent companies from the US financial system” difficult for the authorities.

FIN will present its proposal at a hearing of the subcommittee on national security, international trade and finance under the US Senate Committee on Banking, Housing and Urban Affairs today, September 3.

Recall that at the end of July, the Senate Banking Committee held hearings on the regulation of the crypto industry.

In addition, in the summer, US Treasury Secretary Stephen Mnuchin said that American regulators are likely to develop new rules for cryptocurrencies in order to avoid their negative impact on the country's financial system.

SEC Chairman to Speak About BTC Listing

It looks like Bitcoin listing on the tradional exchanges won't happen in the nearest future
20 September 2019   79

Chairman of the US Securities and Exchange Commission (SEC) Jay Clayton said that bitcoin needs more regulation for listing on large exchanges. It is reported by CNBC.

If [investors] think there’s the same rigor around that price discovery as there is on the Nasdaq or New York Stock Exchange ... they are sorely mistaken. We have to get to a place where we can be confident that trading is better regulated.

Jay Clayton

Chairman, SEC

He was talking about listing conditions for bitcoin itself, and not derivatives, such as CME futures.