Having closely observed the actions of regulators, we envision crypto wallets and certain digital asset transactions will be the next target.
Drawing from prior federal enforcement actions and signals from these agencies in publications and notices, we anticipate that digital asset enforcement will grow in two ways: the Securities Exchange Act of 1934 (“Exchange Act”) may be interpreted to encompass regulation of crypto wallets as brokers and traditional financial institution subject to Anti-Money Laundering and Know Your Customer laws (AML/KYC) will face challenges with compliance in the digital asset space in light of tools such as mixers.
‘Enforcement 40’ for 2020
Join Us On LinkedIn
Join the Securities Litigation and Enforcement Group on LinkedIn