Bitcoin shouldn't become the new Swiss bank account: Mnuchin

January 13, 2018
US Treasury Secretary Steven Mnuchin acknowledged that some central banks were looking into the possibility of creating digital currencies instead of issuing cash

Dominant digital currency bitcoin should not be allowed to become the Swiss bank account of the modern era used to hide illicit activity, Treasury Secretary Steven Mnuchin said Friday.

Mnuchin pledged to work with other governments, including within the Group of 20, which includes the world's major economies, to monitor the activity of those who invest heavily in the cryptocurrency.

"One of the things we will be working with the G20 on is making sure that this doesn't become the Swiss numbered ," he said at a conference, referring to the famously secretive accounts used by some to hide ill-gotten gains.

"We want make sure that bad people can't use this to do bad things."

US rule require banks to have information on customers with bitcoin accounts to try to prevent money laundering and other illicit activity.

Mnuchin acknowledged that some central banks were looking into the possibility of creating digital currencies instead of issuing cash, but said the US Federal Reserve was not yet considering such a move.

Asked about the possibility that Russia would create its own to escape financial sanctions, Mnuchin said "I don't think that's a concern."

Explore further: Bitcoin and cryptocurrency for n00bs

Related Stories

Bitcoin futures slide after trading debut on CME

December 18, 2017

Another security based on the price of bitcoin, the digital currency that has soared in value and volatility this year, began trading on the Chicago Mercantile Exchange on Sunday.

Recommended for you

Team breaks world record for fast, accurate AI training

November 7, 2018

Researchers at Hong Kong Baptist University (HKBU) have partnered with a team from Tencent Machine Learning to create a new technique for training artificial intelligence (AI) machines faster than ever before while maintaining ...

0 comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.