The United States Treasury had a meeting with the cryptocurrency industry though leaders, compliance experts, and company owners on March 2nd in order to discuss the future of this innovative sector within the economy of the United States.
As always the Treasury mentioned how it is in support of the development of the blockchain in order to benefit the local economy as well as the citizens. However, it will not tolerate any use of cryptocurrencies for illegal activities such as money laundering, financing of terrorists an of course scams.
The last part is what raises questions as to how the US Treasury is going to conduct thorough research through available crypto companies and stop scam operations at their roots.
US authorities, mainly in the Securities and Exchange Commission have been fast at work trying to identify wrongdoings in the crypto industry. However, their work so far can’t necessarily be seen as fruitful as the regulator has been chasing minor policy violations from companies like Kik rather than stopping crypto scams at their core.
This may be a tall order for the SEC as well considering how more infused with tech recent scams are getting. For example, it’s almost impossible to determine the fraudulence of companies that provide crypto trading software as there’s no real way of saying that they are not paying back their customers.
According to this Bitcoin Revolution review, most of these companies opt to pay their customers in their own cryptos or with cryptos provided by their partners. Although this still constitutes a “violation” for the SEC for not “paying” their customers, these companies are still able to dodge most of the regulator’s accusations.
Unfortunately, many a trader has fallen for these crypto software schemes and hoped that the cryptos they were withdrawing would one day have enough liquidity to sell. Unfortunately, that day is still to come.
Should the US Treasury be convinced that crypto payments by these companies be considered as actual payments, it will add much more jurisdiction to agencies like the SEC to actually double down on the policy.
They would be able to demand the liquidity of payouts to be provided so that people can exchange for more reliable mediums of exchange, be it the USD or Bitcoin.
Overall though, this meeting is sure to not bear fruit for the next year or so, as most government-expert meetings go.