• FinCEN bank warning crypto
    Cryptocurrencies,  Politics,  Regulation

    FinCEN’s mixed message on banks and crypto

    Financial Crimes Enforcement Network Director Kenneth Blanco’s warning that banks can expect tough questions about cryptocurrencies comes in the wake of other Treasury Department rulings encouraging custody service for crypto and stablecoins

    Taken together, the encouraging letter from acting Comptroller of the Currency Brian Brooks and stark warning from Financial Crimes Enforcement Network Director Kenneth Blanco present a very mixed message to banks and other financial institutions. Both agencies are part of the U.S. Treasury Department.

  • Treasury
    Cryptocurrencies,  United States

    Treasury talks tough on crypto exchanges

    FinCEN “will not tolerate” crypto’s noncompliance

    In a Thursday evening speech, one Treasury official made it clear that the department is serious about regulating cryptocurrency exchanges. “[O]ur regulations cover both transactions where the parties are exchanging fiat and convertible virtual currency, but also to transactions from one virtual currency to another virtual currency,” said Kenneth A. Blanco, director of the Treasury’s Financial Crimes Enforcement Network (FinCEN). He made the statement in a prepared speech at the 2018 Chicago-Kent Block (Legal) Tech Conference. This isn’t a new situation, of course. Blanco pointed out that FinCEN has held this view for five years, but his statements were meant to clarify their outlook. In other words, it was meant…