% 0.21
BTC Dominance:
% 0.09
Market Cap:
$2.37 T
% 0.16
Fear & Greed:
60 / 100
$ 65.005
BTC Dominance:
% 54.2
Market Cap:
$2.37 T

FBI Crypto Warning: Avoid Unregistered Money Services Providers

Fbi Crypto Warning

The FBI advises against using unregistered cryptocurrency money transmission services that violate US anti-money laundering regulations. Public safety guidelines from the agency include avoiding providers without KYC information.

In a public service broadcast released on Thursday, the FBI cautioned the public against dealing with crypto money service providers who have not registered. Here is the announcement:

“The FBI warns Americans against using cryptocurrency money transmitting services that are not registered as Money Services Businesses (MSB) according to United States federal law … and do not adhere to anti-money laundering requirements.”

“A few simple steps can prevent unintentional use of non-compliant services. For example, avoid cryptocurrency money-transmitting services that do not collect know-your-customer (KYC) information from customers when required,” the Bureau added.

To help the general population stay safe, the FBI also released some safety suggestions. The first piece of advice the agency gave was to verify with FinCEN, the financial crimes enforcement network of the United States Department of the Treasury, that any money transmission service you were considering employing was indeed registered as an MSB. Any interested party can use FinCEN’s website to verify a company’s registration status.

Secondly, the Federal Bureau of Investigations issued a directive:

“Beware of financial services that do not ask for KYC information, including name, date of birth, address, and ID, before allowing you to send or receive money or cryptocurrency.”

Additionally, the FBI emphasized that “simply because an app is available in an app store does not necessarily imply it is a lawful service and is complying with federal requirements.” Beware of services that promote themselves as being used for illicit activities, the agency warned. Use extreme caution when dealing with bitcoin services; these organizations are notorious for laundering illegal monies.

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The charges against William Lonergan Hill and Keonne Rodriguez with running Samourai Wallet—”an unlicensed money-transmitting business that executed over $2 billion in unlawful transactions and laundered over $100 million in criminal proceeds”—came the day before the FBI issued its warning.

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