I don’t think cryptography could be used in large ways to circumvent sanctions – Regulated Bitcoin News

The US Treasury does not believe that cryptocurrencies could be used in large-scale ways to circumvent sanctions.

Treasury’s view on the use of crypto to avoid sanctions

In an interview with Reuters, Deputy Minister of State for Financial Services Nelly Liang talked about the possibility of using cryptocurrencies as a tool to circumvent Russia’s sanctions on Friday.

A senior Treasury official explained that the crypto market is currently not large enough to run the economy, and that the crypto ecosystem is underdeveloped and cannot effectively facilitate large-scale sanctions evasion.

“The size of the transaction we saw is pretty small. Of course, we realize that not everything is visible, but there is a lot of oversight,” says Liang.

At this time, we do not believe it can be used in large scale to avoid sanctions.

Officials have revealed that the Treasury has been studying this issue for years. In addition, groups of seven developed countries (G7) and other countries have expressed concern about the use of cryptocurrencies for illegal financing.

She added:

Although growing due to the increasing use of cryptocurrencies, its share as a medium for illegal financing is not as great as using cash.

Senator Elizabeth Warren is deeply concerned, despite many sources confirming that cryptocurrencies are not currently an effective tool for avoiding large-scale sanctions.

She submitted the bill on Thursday. “To prevent Vladimir Putin and the Russian elite from using digital assets to undermine the economic sanctions of the international community on Russia after the invasion of Ukraine.” But experts said her bill was “unnecessary.” , Widely, unconstitutional, as Bitcoin.com News previously reported. “

Meanwhile, President Joe Biden signed a presidential directive on cryptography last week. This order directs the Secretary of the Treasury to work with all relevant agencies to report on the future of the money and payment system. Presidential directive.

What do you think of the finance officer’s comments? Let us know in the comments section below.

Kevin Helms

Kevin, a student of Austrian economics, has been an evangelist since he found Bitcoin in 2011. His interests are in Bitcoin security, open source systems, network effects, and the crossroads of economics and cryptography.

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