The US Department of Justice will focus on illicit activities on cryptocurrency exchanges

The US Department of Justice’s director of the National Cryptocurrency Enforcement Team (NCET) Eun Young Choi, has vowed to crackdown on illicit behavior on crypto exchanges. In an interview with the Financial Times, the director stated that they would be focusing on preventing criminal activity such as money laundering and terrorism financing on digital asset trading platforms. The department is particularly concerned about the anonymity offered by cryptocurrencies and how it can be exploited by criminals.

The director also emphasized the importance of collaboration between law enforcement agencies and crypto companies to combat illegal activity in the crypto space. He called for increased transparency and regulation in the industry (and cryptocurrency exchanges) to prevent abuse.

The crackdown on illicit behavior in the crypto industry is part of a broader effort by the US government to regulate the sector. The director’s comments come as the crypto market continues to experience heightened scrutiny from regulators, with concerns about investor protection, financial stability, and national security.

The Financial Times article suggests that the increased focus on regulation and enforcement in the crypto industry may lead to a shift in the perception of digital assets from being a tool for criminal activity to a legitimate asset class. Overall, the crackdown on illicit behavior on cryptocurrency exchanges is seen as a necessary step to ensure the long-term viability and growth of the industry.