US DOJ to crack down on crypto exchanges, says NCET director FT | WKZO | All Kalamazoo

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(Reuters) The U.S. cryptocurrency enforcement czar said the country was stepping up scrutiny of crypto exchanges to target illicit behavior on the platforms, the Financial Times reported on Monday.

The Department of Justice (DOJ) is targeting crypto companies that engage in crimes themselves or allow crimes like money laundering to happen, team director Eun Young Choi told the FT. National Anti-Cryptocurrency (NCET).

they make it easy for all other criminal actors to profit from their crimes and make money in ways that we obviously have trouble with, she said.

So we hope that by focusing on these types of platforms, we will have a multiplier effect.

In March, the DOJ charged Vietnamese national Minh Quoc Nguyen with money laundering and identity theft in connection with operations of crypto platform ChipMixers, saying Nguyen openly flouted financial regulations.

With the new crackdown on crypto firms, the DOJ aims to intensify this scrutiny, sending a chilling message to firms that may have avoided anti-money laundering or customer identification rules, and who do not were not investing in strong compliance and risk mitigation procedures. , Choi said.

The NCET director, without naming any specific entity, said the size of a business is not something the department will accept while weighing potential charges.

The Department of Justice will also focus on crimes related to decentralized finance, particularly blockchain bridges, where users can trade different types of digital tokens, or nascent projects with code vulnerable to such attacks, a- she added.

(Reporting by Rahat Sandhu in Bangalore; Editing by Varun HK)

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