According to the latest reports, the Treasury Secretary from the United States, Janet Yellen, has shared her concerns over the misuse of cryptocurrencies. As per Yellen, the misuse of cryptocurrencies has been growing enormously and it is about time that something was done about the situation.
Yellen warned about the cases originating around the misuse of cryptocurrencies in the country. She advised all the platforms and even the investors to be very vigilant and active about their spending. They need to make sure that the platforms they are investing their money in are legit and not of high risks.
She stated that although the use of cryptocurrencies has increased in the global economy, yet it is one of the safest ways for criminals to hide their black money.
Yellen added that many criminals, drug smugglers, corrupt politicians, and terrorist syndicates are using cryptocurrencies. They are using the platform to transfer funds and the black money that they use to achieve their goals or carry out their missions.
Although the digital was not intended, it has ended up becoming a tool for such criminals to carry out their dark desires.
Yellen shared her thoughts about cryptocurrencies and their misuse during her address at the roundtable that was held on February 9 and 10 of 2021. The Financial Sector Innovation Policy Roundtable was held by the Treasury department of the United States.
The Roundtable saw the regulators, as well as the policymakers, take part in the discussions with the experts from the private sectors. The Roundtable also provided a platform for the users to collaborate and resolve their issues around innovative technologies and policies.
The event was kicked off by Janet Yellen, and the topic she chooses to start off was cryptocurrencies. She kept her speech brief and simple but discussed the major and most concerning parts of the cryptocurrency industry. Her main concern over cryptocurrencies was the risks that the sector poses in data privacy, terrorist financing, money laundering, and fraud.
During the pandemic, the adoption in the cryptocurrency sector has experienced a significant increase. Millions of people from around the world are now shifting to the cryptocurrency sector. As the number of users grows in the sector, so does the number of criminals who are moving along with legit users.
Therefore, it is extremely important for governments from around the world to come up with solutions at the earliest. Regulators from around the world need to work alongside cryptocurrency firms and come up with foolproof solutions.
The potential and position of cryptocurrencies can no longer be ignored in the global economy. Therefore, it is better to adapt and regulate than try and get rid of the technology from the platform.