Treasury Under Secretary for Terrorism and Financial Intelligence David S. Cohen has issued a firm warning to bitcoin exchanges who haven’t yet registered with the Treasury’s FinCEN (Financial Crimes Enforcement Network) department.
Cohen said that the U.S. Department of the Treasury “know[s] there are many virtual currency exchangers and administrators that have not registered with FinCEN and are not fulfilling their recordkeeping and reporting requirements,” at a Bloomberg News event in New York City.
“Those that do not comply with these rules should understand that their actions will have consequences,” he added.
According to Cohen, the Treasury’s approach to rule-making with regard to digital currencies “is rooted in two guiding principles: fostering innovation and ensuring transparency.”
“We place real value on the benefits of financial innovation,” he was quoted as saying. “Advancements in technology that allow entrepreneurs and businesses to innovate, grow and hire are crucial to our country’s long-term economic success.”
Cohen added that it’s the Treasury’s responsibility to protect the economy in the United States “from illicit finance threats,” of which he suggests digital currencies pose.
The Treasury is reportedly working with other governments from around the world to put together consistent rules and regulations when it comes to digital currency use.