United States banking advocacy group, Bank Policy Institute, has backed Senator Elizabeth Warrens’ legislation aimed at tackling financial crime, which she first introduced several months ago.
According to a July 28 Bloomberg report, The Bank Policy Institute has shown its support for Warren’s legislation demanding more transparency in digital asset transactions to com money-laundering and terrorism financing.
The bill focuses on transparency with digital asset transactions, requiring digital-asset wallet providers, miners and others that validate and secure transactions on a blockchain to keep records of their customers identities. The purpose is to combat money laundering and terrorism financing.
Warren reintroduced the bill on July 28 – which she initially introduced in December 2022 – along with West Virginian Democrat Joe Manchin, Kansas’ Republican Roger Marshall and South Carolina Republican Lindsey Graham.
The Bank Policy Institute highlighted the existing gap in the current anti-money laundering framework in the United States, which fails to address digital assets. It was noted in a statement:
“The existing anti-money laundering and Bank Secrecy Act framework must account for digital assets, and we look forward to engaging in this process to defend our nation’s financial system against illicit finance in all its forms.”
The Massachusetts Bankers Association, AARP, the National Consumer Law Center and the National Consumers League are among the supporters of the bill.
Tyler Winklevoss, co-founder of crypto exchange Gemini, took aim at the news in a July 28 tweet, suggesting that those opposed to the bank advocacy group and Warren’s support, are “doing the right thing.”
When you’ve made enemies with the bankers and Elizabeth Warren, you know you’re doing the right thing. https://t.co/w2WflrkJOu
— Tyler Winklevoss (@tyler) July 28, 2023
Warren initially introduced the bill at the Senate Banking Committee hearing “Crypto Crash: Why the FTX Bubble Burst and the Harm to Consumers”, in December 2022, where she declared that crypto should be held to the same regulations as banking institutions.
“Senator Marshall and I introduced a bipartisan bill today that requires crypto to follow the same money-laundering rules as every bank, every broker and Western Union all have to follow today.”