- Biden’s administration cautions that digital assets reduce the US sanction program.
- The authority emphasized this based on the numerous downsides posed by digital assets.
- At the same time, the US has put in place over 9,000 sanction regimes targeting North Korea and Iran.
US President Biden’s administration has come out to warn that digital assets and their related activities reduce the U.S. sanction regime. Also, the US Treasury Department pointed specifically to the risks associated with crypto-assets and how it affects the country’s sanction rule.
Commenting on the matter, the U.S. Treasury Dept briefly explained that,
Technological innovations such as digital currencies, alternative payment platforms, and new ways of hiding cross-border transactions all potentially reduce the efficacy of American sanctions.
Similarly, the authority further explained from boot to boot that virtual currency encourages malicious activities more than any other thing. It even exists to give room to attackers to hold and illegally transfer funds.
Despite the numerous risks posed by cryptocurrency, it further allows the creation of a multi-payment system which in turn diminishes the U.S. dollar value. Prior, the US Treasury Department cited all these as their stance.
Meanwhile, the US has more than 9,000 sanctions in place at the moment serving as the sole foundation of American foreign policy. Based on the report, the U.S. put the sanction program in place against North Korea and Iran for their involvement in human rights abuses and terrorism.