Tax official admits that most crypto transactions are “legitimate”, but still

Deputy Treasury Secretary Wally Adeyemo said the department is likely to impose more sanctions on companies involved in illegal ransomware payment transactions.

At an online event hosted by the Center for a New American Security with former Treasury Secretary Jack Lew and Ambassador Paula Dobrianky, Adeyemo said the U.S. government will likely tamper with their toolbox by imposing sanctions if criminals threaten national security interests . He specifically mentioned “cryptocurrency exchanges or mixers that are essentially used to promote cybercrime” as possible targets.

“We believe the majority of digital assets will be used for legitimate purposes, but those that are primarily intended for criminal enterprise business,” Adeyemo said. We plan to use our tools to track them. ”“ We also have to admit that ultimately the growth of digital assets is a challenge that we must grapple with in relation to our sanction regimes. ”

Adeyemo added that any investigation into illegal cryptocurrency sanctions will involve working with the FBI, intelligence agencies and other agencies.

His comments come after an October 18 report that said the department needs to do more to develop infrastructure and policies related to digital assets as they hinder sanctions enforcement while funding from legitimate humanitarian sources Balance organizations. The report suggested that the US Treasury Department should modernize to include “the right expertise, technology, and personnel” for handling digital assets.

Related: Tax Rogue Countries Dodge Economic Sanctions, But Are Cryptocurrencies Wrong?

The government imposed the sanctions as part of US efforts to combat ransomware attacks that threaten the country’s infrastructure, such as when the DarkSide hacker was stationed in Russia in May, sanctions the Czech Republic and Russia-based Suex -Impose otc business because it allows hackers to access cryptocurrencies, death is sent as payment for ransomware attacks.