Digital currency firms are still struggling to meet state licensing requirements and secure banking relationships, industry analysts told ACAMS moneylaundering.com. Finding a bank account "is probably the single greatest point of failure in the U.S. digital currency industry," said Marco Santori, a New York-based partner with Cooley LLP and chairman of the Bitcoin Foundation's regulatory affairs committee. Firms are also grappling with disparate state regulatory frameworks that can require them to jump through many hoops and pay large sums of money to be licensed as money services businesses (MSBs) as digital currency exchanges are required to do by the Financial...
Dutch prosecutors are pursuing as many as 15 cases against individuals suspected of using digital currencies and "tumblers" to conceal the flow of illicit proceeds between online black markets and the mainstream banking system, according to a senior official.
Virtual currency businesses operating in New York may soon have to obtain special licenses and establish anti-money laundering, cyber security and consumer protection programs, the state's banking regulator announced Thursday.
U.S. officials have sent formal warning letters to a number of virtual currency firms it suspects have failed to register as money services businesses, the head of the nation's financial intelligence unit said Tuesday.