Dec 22, 2020
Jeremy Allaire of Circle Pay and Kristin Smith of the Blockchain Association explain the impact of and motivation behind Treasury Secretary Steve Mnuchin’s proposed FinCEN rule that targets “unhosted” wallets. In this episode, they cover:
- what the new FinCEN rule says, and how it would impact unhosted or self-hosted wallets, as well as crypto businesses
- why they believe this is really politically motivated and unilateral midnight rule making by Secretary Mnuchin
- what other bureaucrats and policymakers think should be done instead
- whether the rule only affects businesses rather than individuals
- what information will be recorded according to the rule
- ways to circumvent compliance
- how the rule affects DeFi and Web3
- the procedural hurdles Mnuchin took to propose the rule, and what they recommend the crypto community to do try to stop the implementation of the rule
- how the rule comports with European GDPR regulations
- which government entities will be tasked with making the regulatory changes the space needs
- why President-Elect Joe Biden’s administration may be more favorable for the space
Thank you to our sponsors!
1inch: http://1inch.exchange
Episode links:
Jeremy Allaire: https://twitter.com/jerallaire
Kristin Smith: https://twitter.com/kmsmithdc
Circle: https://www.circle.com/en/
The Blockchain Association: https://theblockchainassociation.org
Stories on proposed rule:
https://www.coindesk.com/fincen-proposes-kyc-rules-for-crypto-wallets
https://www.theblockcrypto.com/post/88347/treasury-crypto-wallets-reporting-rule
Effect on DeFi: https://twitter.com/jerallaire/status/1340060806088671232?s=20
https://twitter.com/jchervinsky/status/1340050400871911424?s=20
Coin Center response: https://www.coincenter.org/a-midnight-rule-for-cryptocurrency-transaction-reports/
Brian Armstrong’s earlier tweet thread: https://twitter.com/brian_armstrong/status/1331745196887867393
Collins Belton’s tweet
thread:
https://twitter.com/collins_belton/status/1340051986008350721?s=20