New Defense Bill Removes Cryptocurrencies From National Strategy Against Terrorists
The United States National Strategy Against Terrorism and Illicit Finance will no longer entail language explicitly characterizing cryptocurrency, “by striking…such as so-called cryptocurrencies, other methods that are computer, telecommunications, or Internet-based, cyber crime,” according to the new defense bill.
The language in a section titled “Trend Analysis of Emerging Illicit Finance Threats” in the revised defense bill has been updated to read, “A discussion of and data regarding trends in illicit finance, involving evolving forms of value transfer.” This policy approach appears to de-emphasize the worry about or targeting of developing technologies, with the particular eradication of cryptocurrencies as well as computer, telecom, or Internet-based criminality that followed ‘value transfer.’
It is unusual that cryptocurrencies would be excluded from a trend study based on the industry’s booming development and increased attention by both Congress and the White House in 2021 in the possible threats of bitcoin by financial terrorism or being utilized in illicit financing.
Blockchain intelligence organizations such as Chainalysis have already published research on crypto criminality, claiming:
“…cryptocurrency remains appealing for criminals as well due primarily to its pseudonymous nature and the ease with which it allows users to send funds anywhere in the world instantly, despite its transparent and traceable design. But the good news is that cryptocurrency-related crime fell significantly in 2020.”
Previous Forbes Crypto research has dug into what may be a ‘false narrative‘ about the extent to which Bitcoin truly plays a part in unlawful behavior. According to the Chainalysis research, approximately 0.5% to 2% of all crypto activity is illegal in nature.