Janet Yellen: “Cryptocurrencies are a special problem for law enforcement agencies»

Economist and candidate for the post of US Treasury Secretary Janet Yellen (Janet Yellen) expressed concern about the use of digital assets for criminal purposes.

During her confirmation hearing in the Senate, Yellen stressed that cryptocurrencies have become a “particular problem” for law enforcement officials fighting money laundering and other types of financial crimes.

The former chairman of the US Federal Reserve made her statement in response to a question from Senator Maggie Hassan, who asked about new technical threats related to financial terrorism.

Hassan also asked about Yellen’s views on the role of the Treasury Department in combating such crimes. The senator separately singled out cryptocurrencies as a threat and Yellen confirmed this vision of digital assets:

“I think that many of these assets are used mainly for illegal financial transactions, at least in the sense of transactions.”

The candidate for the post of US Treasury Secretary stressed that the government and law enforcement agencies need to find new ways to prevent money laundering through cryptocurrencies and digital platforms.

Recall that in October 2020, the US Federal Reserve and the Financial Crimes Enforcement Network (FinCEN) proposed to lower the threshold for registering money transfers outside the United States, including for cryptocurrency transactions.