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Guiding and Establishing National Innovation for U.S. Stablecoins ActSection 9 › Proposal

The national illicit finance strategy must consider four digital asset questions

To provide for the regulation of payment stablecoins, and for other purposes, section 9, Sec. 9. Written by .

The national illicit finance strategy must consider four digital asset questions

The document says “shallWho acts: Secretary of the TreasuryHow: statuteSec. 9 in the PDF
What the document says

“the Secretary of the Treasury shall consider-- (1) the source of illicit activity, such as money laundering and sanctions evasion involving digital assets; (2) the effectiveness of and gaps in existing methods, techniques, and strategies used by regulated financial institutions in detecting illicit activity, such as money laundering, involving digital assets”

To provide for the regulation of payment stablecoins, and for other purposes, Sec. 9

Subsection (c). The four questions go into the national strategy for combating terrorist and other illicit financing required under sections 261 and 262 of the Countering America's Adversaries Through Sanctions Act (Public Law 115-44; 131 Stat. 934). The other two are the impact of existing regulatory frameworks on the development of innovative methods, and which foreign jurisdictions pose a high risk of facilitating illicit activity through digital assets to obtain fiat currency.

What the document actually says

“the Secretary of the Treasury shall consider-- (1) the source of illicit activity, such as money laundering and sanctions evasion involving digital assets; (2) the effectiveness of and gaps in existing methods, techniques, and strategies used by regulated financial institutions in detecting illicit activity, such as money laundering, involving digital assets”

To provide for the regulation of payment stablecoins, and for other purposes, Sec. 9
That sentence, in plain words

The Treasury must weigh where the crime comes from. It must also ask how well the current checks work. It must look for gaps in them.

What this is about

These questions go into a plan the government already writes. That plan is set by an older law. It is not part of this site.

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