On 27th of July 2023, US Senate approved the amendment of the 2024th National Defense Authorization Act worth $886 billion. NDAA has approved a bill which would target the institutions engaged in crypto trading, privacy-based coins and prominent crypto mixers. The amendment in the bill also advocates how a defense department of the country can utilize federal funding.
NDAA’s Bill Amendment
Amendment in the bill proposed by National Defense Authorization Act (NDAA) was proposed by a group of senior senate members including Roger Marshall, Kristen Gillibrand, Elizabeth Warren, and Cynthia Lummis. The proposed bill by NDAA would authorize the defense department of the state to utilize federal funding.
The amendment in the current bill is rooted in the act which was introduced back in 2022. In 2023, NDAA introduced Responsible Financial Act and Digital Asset Anti-Money Laundering Act which were dedicated to making sure events like FTX-style do not happen again and to spread awareness and security in the crypto industry.
seems pretty obvious that democrats have abandoned any stablecoin bill in favor of sneaking through this provision in the NDAA must pass bill.— Spreek (@spreekaway) July 27, 2023
anyone wanna guess what janet yellen will decide about whether KYC-less transfers of USDC are allowed? pic.twitter.com/sys38GI31z
The core purpose of the amendment was to establish well-defined evaluating standards for crypto and other digital assets. Moreover, this amendment would ultimately assist the law-implementing authorities to examine the risk factors and make sure the crypto and financial businesses are properly complying with laws of money laundering.
How it affects Crypto Industry?
The amendment affects the crypto industry in different ways as it targets the crypto mixers. The improvised act also compels the Treasury Department of the United States to establish a thorough study on anonymous and undisclosed crypto transactions. This incorporates the utilization of crypto mixers of which Tornado Cash is significant for private transactions. It is important to note that Tornado Cash was also sanctioned back in 2022 for prohibiting resident usage. NDAA’s amendment also includes another requirement which forces US-based companies to disclose their investment made in China.
SEC Issues Investors Alert Regarding Cryptocurrency Securities
Bitcoin’s Upward Price Journey – BTC to Hit New All-Time High (ATH) Value
U.S. Defense Bill 2024 Removes Crypto Regulations from the Legislation
You have not selected any currencies to display