"US Treasury Challenges Anti-Crypto Efforts and Terror Financing Narratives"

The Treasury Department's testimony debunked Sen. Elizabeth Warren's claims that cryptocurrency is a major source of funding for Middle East terrorist groups, dealing a blow to her anti-crypto legislation. The testimony revealed that terrorists prefer traditional financial products and services over digital assets, contradicting Warren's arguments. The Treasury's failure to correct erroneous data on terrorist crypto funding has sparked criticism, and opposition to Warren's bill requiring crypto industry participants to comply with KYC rules is growing. Crypto trade groups are lobbying against the bill, citing its potential to stifle innovation and jobs while having little impact on apprehending illicit actors.