Ncet Director Hints Towards Increased Scrutiny Of Crypto Exchanges

 Ncet Director Hints Towards Increased Scrutiny Of Crypto Exchanges

NCET Director Hints Towards Increased Scrutiny Of Crypto Exchanges

According to media reports, US officials have increased their scrutiny of the crypto platforms in the country. This is done to inhibit illicit and illegal behavior on the trading platforms.

Eun Young Choi, who's heading the cryptocurrency enforcement team in the house, also hinted towards the crackdown on the crypto platforms.

According to him, the DOJ is going hard against the crypto exchanges that allow money laundering and other financial crimes on their platform.

He also hinted at how these platforms are allowing criminal actors to cash out after committing crimes. In addition, these crypto platforms have introduced new ways to access money, which is problematic for the USA.

A Deterrent Message For Crypto Exchanges

The thought process behind these actions is to send a deterrent message to the crypto exchanges involved in illegal activities.

Just a few months ago, a Vietnamese national was charged by the DOJ with identity theft and money laundering. According to the details, the ChipMixer platform and this person had some sort of connection with each other.

According to experts, the recent crackdown is a solid message for those firms who have not placed any risk mitigation or AML compliance processes in place.

The director of the NCET also made it clear that the size of a company is not something that will prevent the officials from taking action.

In other words, any crypto firm (small, medium, or large) will have to face actions if it fails to comply with the AML and other relevant laws.

As per the details, the DOJ will also focus on other crimes such as chain bridges, decentralized finance, and so on. Through these platforms, users can exchange their crypto assets with minimal to no KYC or AML.

Of course, not every platform is like this, but the Justice Department's plan is to weed out the bad actors.

Trending Stories