Canada markets open in 2 hours 48 minutes
  • S&P/TSX

    18,307.91
    -19.13 (-0.10%)
     
  • S&P 500

    3,647.29
    -7.75 (-0.21%)
     
  • DOW

    29,134.99
    -125.82 (-0.43%)
     
  • CAD/USD

    0.7270
    -0.0017 (-0.23%)
     
  • CRUDE OIL

    79.12
    +0.62 (+0.79%)
     
  • BTC-CAD

    26,140.56
    -1,866.42 (-6.66%)
     
  • CMC Crypto 200

    433.72
    -25.42 (-5.54%)
     
  • GOLD FUTURES

    1,634.20
    -2.00 (-0.12%)
     
  • RUSSELL 2000

    1,662.51
    +6.63 (+0.40%)
     
  • 10-Yr Bond

    3.9640
    0.0000 (0.00%)
     
  • NASDAQ futures

    11,241.25
    -92.50 (-0.82%)
     
  • VOLATILITY

    33.36
    +1.10 (+3.41%)
     
  • FTSE

    6,938.52
    -46.07 (-0.66%)
     
  • NIKKEI 225

    26,173.98
    -397.89 (-1.50%)
     
  • CAD/EUR

    0.7586
    -0.0003 (-0.04%)
     

Janet Yellen Says Cryptocurrencies Are a ‘Concern’ in Terrorist Financing

·2 min read

Cryptocurrencies are “a particular concern” when it comes to terrorist financing, potential Treasury Secretary Janet Yellen said Tuesday.

Speaking at a Senate Finance Committee hearing on her anticipated nomination after President-elect Joe Biden takes office tomorrow, Yellen said the U.S. should be aware of emerging tools for terrorist financing.

“The technologies to accomplish this change over time and we need to make sure that our methods for dealing with these matters, with tech terrorist financing, change along with changing technology, cryptocurrencies are a particular concern,” she said in response to a question by Sen. Maggie Hassan (D-N.H.), who called crypto use in terrorist financing a “growing concern.”

Related: US Lawmakers Tell Mnuchin to Back Off From Potential Crypto Wallet Regs

Hassan was asking about last year’s National Defense Authorization Act, which includes a provision for examining how terrorists might use new financial technologies to raise funds. Sen. Mark Warner (D-Va.) led the provision’s inclusion.

“I think many [cryptocurrencies] are used, at least in transactions sense, mainly for illicit financing and I think we really need to examine ways in which we can curtail their use and make sure that anti-money laundering doesn’t occur through those channels,” Yellen said Tuesday.

Federal authorities are currently investigating whether there is a link between a December transaction of 13.5 bitcoin by now-deceased French computer programmer Laurent Bachelier to right-wing figures and the attempted insurrection at the U.S. Capitol earlier this month. Several of the recipients of the transaction appear to have been at the Capitol on Jan. 6.

As Fed Chair, Yellen said she didn’t want to over-regulate the crypto space, though she’s also dismissed bitcoin at various points during her term and immediately after. When she takes office, she’ll oversee a number of proposed regulations through the Financial Crimes Enforcement Network, including a controversial rule that would require exchanges to collect and store counterparty information for unhosted wallets.

Related: What Janet Yellen as Treasury Secretary Means for Bitcoin and Markets

Sen. Ron Wyden (D-Ore.) hopes a confirmation vote will occur Thursday.

UPDATE (Jan. 19, 2021, 18:55 UTC): Updated with additional context.

Related Stories