The U.S. House of Representatives recently passed a bill on 26th September that would set up a crypto task force to fight with terrorist use of cryptocurrencies as indicated by public records.
House Resolution (H.R.) 5036 that represents a revised version of the bill recommended by Rep. Ted Budd (R-NC) to the Committee on Financial Services in January 2018 establishes an “Independent Financial Technology Task Force” to combat the illicit use of cryptocurrency.
As per the official records published on the official online database of the U.S. Congress, the newly set-up version of the bill has been passed by the whole House by voice vote.
Identical to the original version of the bill that was introduced on January 10, H. R. 5036 sets up the same time-frames for detecting and providing reports on the potential use of crypto in criminal activities. Based on the document, the Task Force should provide their implications however not later than 1 year after the date of the issuance of the bill.
The mainstream amendments of the upgraded bill are the commencement of section on preventing entities from the use of cryptocurrencies in order to escape sanctions. The new section namely “Preventing Rogue And Foreign Actors From Evading Sanctions” compels regulators to report not later than 180 days after the issuance of the bill on the potential uses of crypto and emerging certain technologies as a means of sanctions’ escape, money laundering, terrorist financing.
The bill includes certain reward policy especially for supporting regulators in providing information that leads to convictions pertaining to the terrorist use of digital currencies. Amid this, H.R. 5036 recommends that the reward amount should not be more than $450,000 to any person who provides information pertaining to the conviction of an individual associated with the terrorist use of cryptocurrencies.
At the beginning of this month, experts from the Foundation for Defense of Democracies (FDD) Center on Sanctions and Illicit Finance (CSIF) declared publicly before Congress regarding crypto and terrorist financing. However at a time of hearing before the Subcommittee on Terrorism and Illicit Finance, the FDD CSIF director of analysis Yaya Fanusie profusely stated that crypto is a “poor form of money for jihadists” and “cold hard cash is still king.”
Further speaking to the matter, Fanusie also stated that the crypto and blockchain industry both are “not innately illicit and should not be feared,” because any emerging technology can be utilized for both the ways like good or worse as it depends on the user eventually!!