The bipartisan bill would provide a federal safe harbor for non-custodial blockchain service providers from state money transmission and digital asset licensing laws.
On March 23, 2023, US House of Representatives...more
3/31/2023
/ Bank Secrecy Act ,
BitLicense ,
Blockchain ,
Cryptoassets ,
Cryptocurrency ,
Custody ,
FATF ,
FinCEN ,
Market Participants ,
Preemption ,
Proposed Legislation
A legislative initiative in Illinois would establish licensing and consumer protection requirements for digital asset businesses serving consumers in the state.
On February 21, 2023, the Illinois Department of Financial...more
3/29/2023
/ BitLicense ,
Compliance ,
Cryptocurrency ,
Digital Assets ,
Disclosure Requirements ,
Financial Services Industry ,
FinTech ,
Popular ,
Proposed Legislation ,
Regulatory Authority ,
Regulatory Oversight ,
Securities ,
Stablecoins
By authorizing the issuance of a stable token, “Blockchain Valley” leads the way in state digital asset adoption and integration.
For the last few years, Wyoming has been a leader among US states at the intersection of...more
Custodia Bank was denied Federal Reserve membership, while certain crypto principal activities are deemed presumptively not appropriate for member banks.
On January 27, 2023, the Board of Governors of the Federal Reserve...more
The Financial Services Committee seeks to bring order to an industry many say has suffered from lack of proper rulemaking.
On January 12, 2023, incoming House Financial Services Committee Chair Patrick McHenry...more
While a conclusion to the much-hyped case may be approaching, market participants should be wary of doomsday prognostications.
As a new year begins, the digital assets industry is still enduring a deep and widespread crypto...more
1/20/2023
/ Aiding and Abetting ,
Blockchain ,
Cryptocurrency ,
Digital Assets ,
Enforcement Actions ,
Howey ,
Investment Contract ,
Offerings ,
Popular ,
Securities ,
Securities Act of 1933 ,
Securities and Exchange Commission (SEC) ,
Securities Litigation ,
Securities Violations ,
Statutory Interpretation ,
Unregistered Securities
Banking organizations should ensure appropriate risk management, but regulators are skeptical of certain crypto activities as principal.
On January 3, 2023, the Board of Governors of the Federal Reserve System (Federal...more
1/12/2023
/ Banking Regulators ,
Banking Sector ,
Cryptoassets ,
Cryptocurrency ,
FDIC ,
Federal Reserve ,
Financial Institutions ,
Joint Statements ,
OCC ,
Risk Assessment ,
Risk Management
Digital asset activities of licensed institutions must be approved and will be assessed for potential safety and soundness risks.
On December 15, 2022, the New York State Department of Financial Services (NYDFS) issued...more
The comprehensive framework, which spans multiple reports, aims to spur risk mitigation efforts and potentially a US central bank digital currency.
On September 16, 2022, the White House published a fact sheet described...more
9/30/2022
/ Bank Secrecy Act ,
Biden Administration ,
Central Bank Digital Currency (CBDCs) ,
Cryptocurrency ,
Digital Assets ,
Executive Orders ,
Financial Regulatory Agencies ,
Financial Services Industry ,
Financial Stability Board ,
Financial Transactions ,
FSOC ,
OECD
The Federal Reserve is taking measured steps to better understand the types of cryptoasset-related activities contemplated by its supervised banking organizations.
On August 16, 2022, the Board of Governors of the...more
8/25/2022
/ AML/CFT ,
Compliance ,
Consumer Protection Laws ,
Cryptoassets ,
Cryptocurrency ,
Cybersecurity ,
FDIC ,
Federal Reserve ,
Financial Institutions ,
Financial Transactions ,
OCC ,
Risk Management ,
Supervision ,
Technology
The US Treasury opens a Pandora’s box of legal issues as it targets a decentralized finance protocol used for both licit and illicit means.
On August 8, 2022, the US Department of the Treasury’s Office of Foreign Assets...more
8/12/2022
/ Blockchain ,
Cryptocurrency ,
Decentralized Finance (DeFi) ,
Economic Sanctions ,
Ethereum ,
Foreign Policy ,
Money Laundering ,
National Security ,
Office of Foreign Assets Control (OFAC) ,
Popular ,
Ransomware ,
SDN List ,
U.S. Treasury
The RFIA could make it easier for fintechs dealing in digital assets and stablecoins to access Federal Reserve bank services.
Latham & Watkins presents a blog series on the Responsible Financial Innovation Act, which was...more
7/8/2022
/ Banking Sector ,
Blockchain ,
Cryptocurrency ,
Digital Assets ,
FFIEC ,
Financial Services Industry ,
FinCEN ,
FinTech ,
Payment Systems ,
Proposed Legislation ,
Stablecoins
The RFIA would define consumer protection standards for digital assets and introduce new requirements regarding digital asset use in interstate money transfers.
Latham & Watkins presents a blog series on the Responsible...more
6/27/2022
/ Blockchain ,
Consumer Financial Protection Bureau (CFPB) ,
Consumer Protection Laws ,
Cryptocurrency ,
Digital Assets ,
Digital Service Providers ,
Digital Services ,
Disclosure Requirements ,
Financial Services Industry ,
Money Transmitter ,
Proposed Legislation ,
Regulatory Agencies
The promise of faster and cheaper remittances may accelerate crypto adoption in many emerging markets, including those that have not historically utilized credit and debit payments, notably Latin America.
One of the most...more
On March 9, 2022, President Biden issued an Executive Order on Ensuring Responsible Development of Digital Assets (Order). In the face of rapid advancement in blockchain technology and its applications, the Order asserts that...more
Popular and institutional interest in digital assets, decentralized applications, NFTs, and blockchain technology skyrocketed, and regulators sprinted to catch up.
For the digital asset markets, 2021 was a banner year....more
1/25/2022
/ Bitcoin ,
Blockchain ,
Capital Raising ,
Cryptoassets ,
Cryptocurrency ,
Decentralized Finance (DeFi) ,
Digital Assets ,
Enforcement ,
Entrepreneurs ,
Environmental Social & Governance (ESG) ,
Federal Reserve ,
Financial Regulatory Agencies ,
FinCEN ,
Non-Fungible Tokens (NFTs) ,
Regulatory Agenda ,
Securities and Exchange Commission (SEC) ,
Startups ,
Unicorns ,
Venture Capital
The industry will have two years to learn the new requirements and develop systems to ensure compliance.
On November 15, 2021, President Biden signed the US$1.2 trillion Infrastructure Investment and Jobs Act into law...more
The DOJ’s National Cryptocurrency Enforcement Team and Treasury’s OFAC are setting their sights on cryptocurrency use in cybercrimes.
The US Department of Justice (DOJ) is sharpening its focus on combatting...more
10/29/2021
/ Blockchain ,
Compliance ,
Cryptocurrency ,
Department of Justice (DOJ) ,
Economic Sanctions ,
Enforcement ,
Enforcement Authority ,
Financial Crimes ,
Office of Foreign Assets Control (OFAC) ,
Ransomware ,
SDN List ,
U.S. Treasury ,
Virtual Currency
Gary Gensler asserts the SEC’s broad powers over digital assets, and puts consumer protection at the forefront.
On August 3, 2021, Gary Gensler, chairman of the US Securities and Exchange Commission (SEC), gave a speech on...more
8/13/2021
/ Bitcoin ,
Blockchain ,
Broker-Dealer ,
Consumer Financial Products ,
Consumer Protection Laws ,
Cryptocurrency ,
Decentralized Finance (DeFi) ,
Digital Assets ,
Enforcement ,
Exchange-Traded Products ,
Initial Coin Offering (ICOs) ,
Popular ,
Regulatory Agenda ,
Securities and Exchange Commission (SEC) ,
Stablecoins ,
Token Sales
A sovereign nation’s decision to adopt Bitcoin as legal tender raises interesting questions — and legal ramifications.
On June 8, 2021, El Salvador’s Legislative Assembly voted to establish Bitcoin as unrestricted legal...more
6/25/2021
/ Article 9 ,
Banking Sector ,
Bitcoin ,
CFTC ,
Commodity Exchange Act (CEA) ,
Cryptocurrency ,
El Salvador ,
Exchange-Traded Products ,
Financial Action Task Force ,
Foreign Currency ,
IRS ,
Money Transfer ,
Multinationals ,
New Legislation ,
Securities and Exchange Commission (SEC) ,
Uniform Commercial Code (UCC)
SEC Commissioner Peirce has revived and refreshed her proposed three-year safe harbor for qualifying token projects, but some unresolved ambiguities remain.
US Securities and Exchange Commission (SEC) Commissioner Hester...more
The State of Wyoming is solidifying its position as the friendliest state in the US for digital asset innovation. Although comprehensive digital asset regulation at the federal level remains elusive, US states are angling to...more
For market participants pivoting toward ESG and digital assets, weighing the issues at the crossroads of these two megatrends is critical.
The huge rise in popularity of Bitcoin - and the growing interest by mainstream...more
4/13/2021
/ AML/CFT ,
Blockchain ,
Climate Change ,
Corporate Governance ,
Cryptocurrency ,
Decentralized Finance (DeFi) ,
Digital Assets ,
Environmental Social & Governance (ESG) ,
Paris Agreement ,
Popular ,
Risk Management
As the market for NFTs heats up, market participants should remain mindful of the regulatory implications of complex schemes.
As the current crypto boom has progressed, it seemed Decentralized Finance (DeFi) had cemented...more
3/15/2021
/ Blockchain ,
Cryptocurrency ,
Decentralized Finance (DeFi) ,
Digital Assets ,
Ethereum ,
Fine Art ,
FinTech ,
Insurance Industry ,
Market Participants ,
Marketing ,
Non-Fungible Tokens (NFTs) ,
Online Marketplace
A new proposal would subject financial institutions and exchanges to onerous recordkeeping and reporting requirements for certain digital currency transactions.
In a surprise release in the waning days of the Trump...more
1/15/2021
/ Anti-Money Laundering ,
Bank Secrecy Act ,
Bitcoin ,
Cryptocurrency ,
Digital Assets ,
Ether ,
Financial Institutions ,
FinCEN ,
Money Services Business ,
National Security ,
NDAA ,
Popular ,
Recordkeeping Requirements ,
Reporting Requirements ,
Terrorism Funding ,
Virtual Currency