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FinCEN: Biden’s catch-22 moment with the crypto industry after Trump leaves behind controversial proposals that could end Bitcoin’s meteoric rise

Biden reviews Cypto laws

One of the features that make Bitcoin so irresistible to investors its lack of surveillance: the ability to send money without the government watching. The proposal will remove this shroud of privacy from users’ wallets, turning mere code into concrete identities that can be tracked by the government.

By Vish Gain for AMLi

A SET OF Trump-era proposals that could potentially cause the value of Bitcoin to plummet is under review by the Biden administration amid strong disapproval of the rules from the cryptocurrency sector.

The proposed rules, drafted last-minute by the outgoing Trump administration, require financial services firms to record the identities of cryptocurrency holders in a bid to prevent money laundering and terrorist financing through Bitcoin and other cryptocurrencies.

Made shortly after Trump lost the election, the proposals fell under the Treasury department’s Financial Crimes Enforcement Network or FinCEN and prompted a strong backlash from both financial and legal lobbyists including Wall Street and K Street — including the threat of a lawsuit from a crypto trade group.

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