Mnuchin — U.S Will Ensure ‘Very Very Strong’ Crypto Regulation

Wilfred Michael 

Wilfred Michael

News reporter

18 July 2019,
14:35
Mnuchin — U.S Will Ensure ‘Very Very Strong’ Crypto Regulation

U.S Treasury Secretary Steve Mnuchin was talking about Bitcoin and cryptocurrencies for the second time in roughly one week when he appeared on the CNBC Squawk box, Thursday.

The current interview follows an earlier near thirty-minute session on Friday where Mnuchin held a national briefing regarding the emerging asset class, focusing primarily on Facebook’s planned cryptocurrency, Libra.

This time though, Mnuchin had plenty of time to talk about Bitcoin, despite pretty much the whole discussion focusing on how the U.S would not let the cryptocurrency become a dominant tool for bad actors.

He told CNBC that the U.S would police cryptocurrencies with “very, very strong” regulations so that they don’t become cloaked in secrecy.

Mnuchin compared the anonymity that Bitcoin offers its users to that which Swiss banks provided customers when they allowed them to keep a secret account (only the bank and the customers knew the details of transactions).

Elaborating on how this relates to Bitcoin, Mnuchin said,

“We’re going to make sure that bitcoin doesn’t become the equivalent of Swiss-numbered bank accounts, which were obviously a risk to the financial system.”

He further noted that the U.S would allow a place for the legitimate use of Bitcoin and cryptocurrencies while keeping an eye on the supposed “billions of dollars of transactions going on in bitcoin and other cryptocurrencies for illicit purposes.”

Conclusively, when Mnuchin was reminded that cash or the U.S dollar is also used all the time by bad actors, and remains a legitimate currency, he labeled those claims as ‘inaccurate.’

“We combat bad actors in the U.S. dollar every day to protect the U.S. financial system,” the Treasury Secretary said.

As you may already know, the latest talk around Bitcoin and cryptocurrencies continues a spate of discussions regarding the emerging payment tools by top government officials in the U.S. 

President Donald Trump, Federal Reserve Chairman, Jerome Powell, and U.S Senators have all had their say about Bitcoin and cryptocurrencies within the last few weeks.

 

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