U.S. Treasury Seeks Public Input on Crypto Illicit Activity Detection Tools

The U.S. Department of the Treasury has opened a public comment period on innovative methods for identifying illicit activity in digital asset markets. Stakeholders have until October 17, 2025 to submit feedback under requirements of the GENIUS Act, the landmark stablecoin legislation enacted last July.

Four technical focus areas dominate the request: API implementations, digital identity solutions, AI applications, and blockchain analytics tools. The initiative reflects the Biden administration's dual mandate of fostering cryptocurrency innovation while maintaining robust financial surveillance capabilities.

Market participants view this as a critical juncture for regulatory clarity. "Effective monitoring frameworks could accelerate institutional adoption," noted a Treasury spokesperson, emphasizing the balance between compliance burdens and ecosystem growth. The MOVE follows increasing congressional pressure to address crypto-related financial crimes without stifling technological progress.