Markets Wired

WASHINGTON —U.S. Under Secretary of the Treasury for Terrorism and Financial Intelligence Brian E. Nelson met today with a group of stakeholders convened by the Center for a New American Security to discuss Treasury’s recent Action Plan to Address Illicit Financing Risks of Digital Assets. Under Secretary Nelson and the participants, which included government stakeholders, private industry, and academics, discussed the report’s findings, including the need for government and external stakeholders to work collaboratively to address the illicit finance risks that virtual assets pose. Under Secretary Nelson recognized the work of many in industry to engage in constructive dialogue and support government efforts to mitigate the misuse of virtual assets for money laundering, terrorist financing and proliferation financing.

Under Secretary Nelson also underscored Treasury’s commitment to the plan’s priority and supporting actions, including promoting implementation of international AML/CFT standards and deepening engagement with the private sector. He noted that the use of virtual assets for illicit activities remains below the scale of traditional finance and represents a small portion of overall digital asset use, but that the increases in illicit finance in digital assets in absolute terms continues to present national security risks. He emphasized the need for adequate compliance with and enforcement of illicit financing laws in the virtual asset space. 

Fact Sheet: Action Plan to Address Illicit Financing Risks of Digital Assets