US President Given Authority to Regulate Cryptocurrency in Response to Terrorism Threats
Key Points
– A recent law in the United States grants the president the power to regulate cryptocurrency to combat terrorism, causing concerns.
– The president can block transactions with foreign entities connected to terrorist groups and amend regulations to enforce penalties and allow judicial review of classified information.
– The law gives the president extensive authority to intervene in cryptocurrency transactions involving terrorists, sparking worries about potential control over the digital assets industry.
Cracking Down on Cryptocurrency
– The legislation mandates the Secretary of the Treasury to identify and report foreign banks and cryptocurrency facilitators engaging in significant transactions with terrorist groups.
– Within 60 days of enactment, the president can prohibit or impose conditions on foreign banks’ accounts in the U.S. and halt transactions with American entities involving foreign digital asset facilitators.
– Some critics fear this move may be a way to control cryptocurrency under the guise of counterterrorism efforts.
Executive Powers in Action
– Under the International Emergency Economic Powers Act (IEEPA), the president has the authority to enforce penalties on violators, as outlined in section 206.
Transparency and Oversight
– The law establishes procedures for judicial review of classified information, allowing the Secretary of the Treasury to present this data to the court privately for review.
– Sanctions can be waived if in the national interest, with Congress being informed of such decisions.
– Exceptions are made for intelligence activities to ensure no interference with authorized operations.
Embracing Stricter Regulations
– Amendments to title 31, United States Code, introduce new prohibitions on fund transfers in high-risk jurisdictions, institutions, or transactions.
– The Secretary of the Treasury can impose conditions on fund transfers involving these entities and take action against domestic financial institutions involved in such transactions.
Tags: Crypto Regulations