Wally Adeyemo, Undersecretary of the U.S. Treasury, has highlighted the need for stronger sanctions targeting digital asset providers.
Russia’s Use of Crypto to Evade Sanctions
Adeyemo’s statement reveals Russia’s growing use of alternative payment methods, such as Tether (USDT), to evade sanctions and support its military activities.
The committee discusses countering illicit finance, terrorism, and sanctions evasion, marking its second meeting on the topic in six months.
Ademayo exposes how terrorist organizations and rogue states leverage cryptocurrencies to hide their financial transactions, citing examples like al-Qaeda’s Bitcoin use and transactions between other groups.
US Treasury’s Call for Expanded Efforts
Adeyemo emphasizes the Treasury’s need to enhance efforts against illicit actors, particularly in the digital asset space, urging additional tools and legislative measures.
Bipartisan bills addressing sanctions evasion and crypto-related issues have emerged, but criticisms arise regarding the focus on cryptocurrencies and the Biden administration’s approach.
Despite bipartisan efforts, legislative progress on crypto-related bills remains stalled, leaving questions about the future of crypto regulation and its role in combating illicit finance.
