Recently, headlines have focused on regulatory concerns about the lack of investor protection in the cryptocurrency market, which has grown to more than $ 2 trillion, and potential risks to financial stability.
US President Joe Biden’s national security agencies have encountered high-profile cases of cryptocurrency that have played a role in ransomware attacks, intellectual property espionage, violations of sanctions, bribery of government officials and tax evasion.
According to a recent report from the Financial Crime Network, reports of suspicious ransomware activity reported in the first half of 2021, up 30% throughout 2020, indicate that ransomware represents a growing threat to the US financial system. sector. companies and the public
The Biden administration is reviewing an order from the federal agency to review and recommend relevant areas of the crypto industry related to national security, economic innovation and financial regulation. The initiative also aims to coordinate the work of digital currency bureaus in the executive branch of government, with the White House’s first crypto king as the primary one.
International consortium of investigative journalists “Pandora’s papers”
An international consortium of investigative journalists has released The Pandora Papers, which leaked nearly 12 million documents from law firms and other organizations around the world, revealing the owners of 29,000 previously unknown offshore companies with up to $ 32 trillion in assets hiding assets worldwide world. peace from taxes or regulatory oversight. in tax havens.
These companies are owned by celebrities, political leaders and criminals from over 200 countries. The leak has already led to an investigation into corruption and tax evasion involving several government officials around the world.
Meanwhile, a report from the World Economic Forum explains how blockchain technology can help break down government corruption.
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Office of Foreign Assets Control in the US Treasury Department
In a first-of-its-kind case, the Office of Foreign Assets Control (OFAC) recently sued Suex, an OTC cryptocurrency broker, for its alleged role in laundering the proceeds of ransomware attacks. This effort was part of an intergovernmental effort to counteract ransomware and disruptions in criminal networks and cryptocurrency exchanges that play a role in money laundering. The goal is to improve cyber security in the private sector and increase the number of incidents reported to the US government and ransom. This includes both the Treasury and law enforcement agencies within the AML / CFT system, as digital currency is the primary means of facilitating ransom payments and related money laundering activities.
Following this incident, OFAC issued an update report on the potential risk of ransomware payment penalties. The updated guidance emphasizes that the US government continues to strongly discourage electronic ransom or extortion requests and recognizes the importance of improving online security practices to prevent or reduce such attacks.
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OFAC has also updated the guidance text to emphasize the importance of informing and cooperating with relevant authorities and law enforcement agencies in the case of ransomware attacks to understand and combat ransomware attacks, cyber-attackers and victims of voluntary self-attack. -dissemination of credit in case of later determination of the criminal relationship. For more information, visit the Stop Ransomware Government website.
Given the financial risk of ransomware and money laundering associated with digital assets around the world, the G7 summit in June promised to work together as soon as possible to effectively and quickly address these growing risks by implementing and enforcing measures in working groups against money. money laundering standards Financing of digital assets and service providers of virtual assets.
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IP and cryptocurrency spy
In other recent cases and reports, the cryptocurrency has been involved in intellectual property espionage.
