Financial Crimes Enforcement Network (FinCEN), a bureau of the US Treasury department has appointed the first-ever chief cryptocurrency advisor in the form of Michele Korver. Korver has a distinguished career in the United States Department of Justice before joining FinCEN.
FinCEN’s acting director Michael Mosier said,
Michele brings a wealth of digital currency expertise and will be a tremendous leader in coordinated efforts to maximize FinCEN’s contribution to the innovative potential for financial expansion of opportunity while minimizing illicit finance risk.
Korver would be responsible for advancing FinCEN’s leadership role in the nascent cryptocurrency space. She would also work with internal and external partners to formulate strategic solutions for mitigating illicit practices in the unregulated digital currency space. The reason for her appointment as the first crypto chief advisor of top financial watchdog could be her years of experience as the US Treasury Department’s crypto counsel where she advised government attorneys and federal agents nationwide on digital currency matters.
What Does the Appointment Signify?
The appointment by FinCEN indicates the growing focus of the US government towards the crypto market regulations. The new appointee would help the financial law enforcement agency to go after companies that could pose investor risk. The growing popularity of cryptocurrencies around the globe especially in the US has posed challenges for the regulators. In absence of any formal regulations, the onus falls upon these regulatory watchdogs to prevent potential scams.
The new US Securities and Exchange Commission Cheif Gary Gensler who was seen as the pro-crypto by the digital currency community because of his understanding of the space has called for tighter regulatory policies to ensure investor protection. Gensler’s call for strict policies around the crypto market hasn’t gone down well with many proponents who believed his appointment would make way for more positive regulations. However, the first few regulations proposed or passed under his authority indicate he might maintain a similar stance. The biggest disappointment came from continuous delay in decision on Bitcoin ETF since many were hopeful that a trillion-dollar market cap and a rising institutional demand could push SEC to approve Bitcoin-based ETF in the US.