US Treasury Secretary Nominee: Cryptocurrency crime is worrying, and we should study how to encourage its use for legitimate activities

According to BlockBeats, on January 22, Janet Yellen, President Biden's nominee for Treasury Secretary, said in oral testimony that cryptocurrency crimes are "particularly worrying." In her written testimony, she was even-handed about the pros and cons of digital assets. As Treasury Secretary, Yellen will be responsible for the Financial Crimes Enforcement Network.

In response to questions about the use of certain cryptocurrencies to finance terrorism and how to develop regulations for digital and cryptocurrencies, Janet Yellen said, “I think it’s important that we think about the benefits of cryptocurrencies and other digital assets and the potential they have to improve the efficiency of the financial system.”

After noting that digital assets can be used for terrorism and money laundering, she continued: “I believe we need to take a close look at how to encourage their use for legitimate activities while reducing their use for malign and illegal activities. If confirmed, I intend to work closely with the Federal Reserve and other federal banking and securities regulators to help on how to implement an effective regulatory framework for these and other fintech innovations.”