"U.S. Banks Need Anti-Money Laundering Law Amendments to Hold Virtual Assets"

An analysis has emerged that U.S. banks need amendments to the anti-money laundering law to hold virtual assets (cryptocurrency).

According to The Block, a virtual asset specialist media outlet, on the 3rd (local time), TD Cowen stated in a report, "If the anti-money laundering law is not amended, banks will face restrictions in holding virtual assets."

Specifically, it emphasized, "We believe banks could hold virtual assets if clarity increases, but considering the liabilities banks would face if they do not stop money laundering, terrorist financing, or sanctions evasion, they would want a higher level of legal clarity."

Recently, measures are being taken in the U.S. to allow financial institutions like banks to hold virtual assets. The Securities and Exchange Commission (SEC) repealing accounting guidance SAB-121 on the custodial obligations of virtual assets is a prime example. However, the report suggests that despite these changes, more definitive legal clarity must be established for banks to hold virtual assets.

Meanwhile, on the 5th and 6th, a hearing on debanking measures against the virtual asset industry is scheduled to be held in Congress.