FinCEN, US Treasury Department, Bank Secrecy Act

The Financial Crimes Enforcement Network (FinCEN), the U.S. Treasury Department wing tasked with monitoring potential legal violations of domestic financial laws, wants Americans to report if they have more than $10,000 in cryptocurrencies with foreign financial or virtual asset service providers.

FinCEN announced its intention to amend the Bank Secrecy Act’s Foreign Bank and Financial Accounts (FBAR) regulations in a rulemaking notice published on New Year’s Eve, just three weeks before the Treasury Department’s leadership is expected to change.

According to a brief notice published Thursday, “FinCEN intends to propose to amend the regulations implementing the Bank Secrecy Act (BSA) regarding reports of foreign financial accounts (FBAR) to include virtual currency as a type of reportable account.â€

It did not provide a timeline for when this new proposal might be published or implemented.

The rule change would appear to bring FBAR rules around crypto holdings in line with cash held outside the U.S. by citizens or other U.S. persons. It could have the most visible impact on users of crypto exchanges like Bitstamp and Bitfinex.

At present, FBARs must be filed by individuals who have an aggregate of over $10,000 in foreign financial accounts, including currencies. Current regulations do not designate virtual currencies as an FBAR-reportable account, however. This amendment would end that exemption.

According to the Internal Revenue Service (IRS) website, FBARs must include the name on the account, account number, name and address of the foreign bank, type of account and the maximum value held during the year.

Individuals who fail to file face various penalties, including fines, according to the website.

Read more: Presidential Advisory Group Weighs In on Regulatory Approach to Stablecoins

What’s unclear is what additional information crypto holders might have to file, such as blockchain addresses.

Thursday’s notice comes just days before the public comment period for another FinCEN initiative – one that would require exchanges to store customer information when transferring more than $3,000 in cryptocurrencies to unhosted wallets and file Currency Transaction Reports for transactions aggregating more than $10,000 in crypto per day – comes to a close.

The public notice, published just a week before Christmas, has drawn the ire of the crypto community both for its potential impact on various crypto projects and having a shorter-than-usual comment period over U.S. federal holidays.

If both these proposed rules are implemented, U.S. persons might have to report crypto holdings and transactions in excess of $10,000 regardless of where they’re held.

RELATED NEWS

US Resident Operated Illegal Bitcoin Exchange Business – Faces 25 Years in Jail

An Ontario man based in San Bernardino County of the U.S. has agreed to plead guilty to federal charges of illegally operating a bitcoin to cash exchange business. According to the U.S. Department of Justice (DOJ), the man, Hugo Sergio Mejia, 49, operated the unregistered exchange business between May 2018 and September 2020. Accordingly, Mejia […]

Xem chi tiết: US Resident Operated Illegal Bitcoin Exchange Business – Faces 25 Years in Jail

Joe Biden Freezes FinCEN’s Crypto Wallet Rulemaking — US Crypto Regulations Under Review

New U.S. President Joe Biden has frozen all agency rulemaking, including the proposal by the Financial Crimes Enforcement Network (FinCEN) relating to cryptocurrency wallets. Biden will appoint someone to “review any new or pending rules,†the White House has announced. FinCEN’s Crypto Wallet Proposal Frozen, Pending Regulatory Review Joe Biden, the 46th president of the […]

Xem chi tiết: Joe Biden Freezes FinCEN’s Crypto Wallet Rulemaking — US Crypto Regulations Under Review

Proposed FinCen Rule on Crypto Wallets Would Likely Be Ineffective, Elliptic Says

The U.S. Treasury Department’s proposed rules requiring users to comply with know-your-customer (KYC) requirements if they want to send their crypto from an exchange to a private wallet could end up being ineffective, according to blockchain analytics firm Elliptic.  In its published response to the rule, Elliptic said the rules could “adversely impact†the effectiveness […]

Xem chi tiết: Proposed FinCen Rule on Crypto Wallets Would Likely Be Ineffective, Elliptic Says

FinCEN to Impose New Regulation for Crypto Holdings at Foreign Exchanges

The Financial Crimes Enforcement Network (FinCEN) has announced that it will soon propose new regulation affecting cryptocurrency holdings at foreign exchanges. This proposal is separate from the one FinCEN recently proposed on cryptocurrency wallets. FinCEN’s New Crypto Rules FinCEN, a bureau of the U.S. Department of the Treasury, issued a notice on Thursday regarding a […]

Xem chi tiết: FinCEN to Impose New Regulation for Crypto Holdings at Foreign Exchanges

US Treasury Warns of Increasing Ransomware Campaigns Against Coronavirus Vaccine Research Institutions

The U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN) issued a warning that alerts financial institutions in the United States about increasing ransomware attacks against coronavirus vaccine research organizations. US Treasury Warns of Ransomware Attacks, Phishing Schemes Targeting Covid-19 Vaccine Research Institutions According to the alert, FinCEN says that fraud, ransomware attacks, and “similar types […]

Xem chi tiết: US Treasury Warns of Increasing Ransomware Campaigns Against Coronavirus Vaccine Research Institutions

‘There Is No Emergency Here’: Coinbase Asks FinCEN to Extend Comment Period on Wallet Regs

Leading cryptocurrency exchange Coinbase asked the U..S. Treasury Department to extend the comment period on proposed know-your-customer (KYC) requirements from 15 days to the typical 60 days normally afforded such proposals. Coinbase noted that the Financial Crimes Enforcement Network (FinCEN), part of the U.S. Treasury, asked for comments on 24 questions, each requiring detailed analysis […]

Xem chi tiết: ‘There Is No Emergency Here’: Coinbase Asks FinCEN to Extend Comment Period on Wallet Regs

US Treasury Bulking Up Crypto Policy Advisers as Wallet Reg Rumors Swirl

The Financial Crimes Enforcement Network (FinCEN), the top financial crimes watchdog within the U.S. Treasury Department, is hiring two policy officers to help draft regulations for the cryptocurrency space. Disclosed in Dec. 11 job postings, these “Strategic Policy Officers†will “assist in the development of policy responses†to “threats†posed by cryptocurrency, issue advisories to […]

Xem chi tiết: US Treasury Bulking Up Crypto Policy Advisers as Wallet Reg Rumors Swirl

Blockchain Bites: Google Goes Down, Nexus CEO and US Treasury Get Hacked

Happy Monday. Or maybe not so happy, if you were depending on Google for your job. Here are our top stories today. Top shelf The Amazon of DeFi?That’s what Yearn Finance is rapidly becoming as a result of acquisitions and partnerships, CoinDesk’s Brady Dale suggests in a big-picture analysis this morning. If Bezos’ behemoth has […]

Xem chi tiết: Blockchain Bites: Google Goes Down, Nexus CEO and US Treasury Get Hacked

FinCEN Encourages Banks to Share Customer Information With Each Other

US Treasury Wants Regulators to Watch for ‘Potential Risks’ in Digital Asset Innovation

Industry Pros Weigh In on Rumors of New Crypto Wallet Regulations

Why FinCEN Wants Details on All Cross-Border Transactions Over $250

Chiliz $CHZ Growth Continues With Trio of New Listings

Online Retail Giant Rakuten Allows People to Load Payment App With Cryptocurrencies

Mad Money’s Jim Cramer Has a Plan to Save Gamestop With Bitcoin

Shark Tank’s Kevin O’Leary Reverses Stance on Bitcoin, Says Crypto Is Here to Stay, Invests 3% of His Portfolio

Other Articles