FinCEN Wants to Equate Bitcoin Mixers to Money Laundering Centers

FinCEN intends to classify cryptocurrency mixers as hubs for money laundering, posing a threat to national security.

This designation will require these services to report any financial transactions.

FinCEN has observed a rise in the use of mixed currency transactions coming from shady sources.

US authorities are particularly concerned about the use of digital currencies by cybercriminals and terrorist organizations like Hamas and Palestinian Islamic Jihad.

In response, American lawmakers have urged the Biden administration to take decisive measures to curb illegal cryptocurrency activities.

Senator Elizabeth Warren, a member of the Senate Banking Committee, wrote an article in The Wall Street Journal, suggesting that DeFi companies should be subject to the same anti-money laundering regulations as banks.

However, Yaya Fanusi, director of anti-money laundering at the Crypto Innovation Council, has opposed this suggestion, stating that current cryptocurrency regulations in the US already adhere to anti-money laundering protocols.