US Treasury Seeks Public Input to Combat Illicit Crypto Activities

The US Department of the Treasury has called for public comments on strategies to detect and prevent unlawful activities involving cryptocurrencies. This initiative aligns with the GENIUS Act, signed into law by President Donald Trump in July, marking the first official crypto regulation in the US. The Act emphasizes anti-money laundering (AML) and sanctions compliance, mandating that stablecoins be fully backed by Treasury bills to ensure stability.

Treasury Secretary Scott Bessent highlighted the potential for stablecoin adoption to drive increased demand for US Treasuries. The Treasury's request for input underscores its commitment to fostering a secure and regulated digital asset ecosystem while addressing risks associated with illicit financial activities.