U.S. Treasury official: No intention to ban cryptocurrency mixers, related measures are aimed at increasing transparency

Odaily Odaily reported that Brian Nelson, the U.S. Treasury Department's Under Secretary for Terrorism and Financial Intelligence, said at the Consensus Conference that the U.S. Treasury Department has no intention of banning cryptocurrency mixing services. It is reported that the Financial Crimes Enforcement Network (FinCEN) proposed in 2023 to classify cryptocurrency mixers as a "major money laundering problem" and require virtual asset service providers (VASPs) to report any crypto transactions involving mixers to the agency. FinCEN's proposal, as well as the U.S. Department of Justice's increasing number of law enforcement actions against mixing services (including Tornado Cash and Samourai Wallet), are seen by many in the industry as evidence of an imminent complete ban on cryptocurrency mixing in the United States, which the Treasury Department strongly denies. Nelson said the proposal is not to ban the use of mixers, but to increase transparency. He also expressed his understanding of crypto users' desire for financial privacy, but urged the crypto industry and the Treasury Department to work together to find ways to enhance privacy without supporting terrorist financing. (CoinDesk)