Crypto 기업, DOJ 해석 수정 촉구
A coalition of crypto firms is calling on Congress to urge the Department of Justice (DOJ) to amend its interpretation of laws that have been used against developers of the cryptocurrency mixer Tornado Cash. Their letter points out that the DOJ’s claims imply that virtually every blockchain developer could face criminal charges. This unprecedented stance could create chaos in the U.S. software development sector related to digital assets.
Crypto Firms Express Concerns Over DOJ's Interpretations
In a remarkable move, 34 crypto companies and advocacy groups, including notable players like Kraken and Coinbase, have joined forces to highlight their concerns regarding the DOJ's interpretation of laws surrounding unlicensed money transmission. They assert that the DOJ's current stance threatens not only individual developers but the entire blockchain ecosystem within the United States.
The letter, coordinated by the DeFi Education Fund, was addressed to key committees in Congress, including the Senate Banking Committee and the House Financial Services Committee. It argues that the DOJ's interpretation of what constitutes a “money transmitting business” could potentially criminalize the actions of many software developers who are engaged in blockchain innovation. Developers who create tools or platforms that facilitate cryptocurrency transactions without directly controlling customer funds could be erroneously categorized as engaging in illicit activities.
This situation raises serious questions around the legal safety of operating within the U.S. crypto market. Developers rely on clear guidelines to navigate the complexities of regulatory compliance, and ambiguity in the law could stifle innovation. As stated in the letter, the DOJ's position leads to a scenario where one government agency interprets laws in a way that conflicts with guidance issued by another, specifically the Financial Crimes Enforcement Network (FinCEN), which has clarified criteria that distinguish between licensed and unlicensed money transmitting businesses.
DOJ's Overreaching Interpretation Poses Risks
The crux of the issue lies in the DOJ's interpretation, which the coalition argues deviates significantly from existing regulations and guidance from FinCEN. Specifically, the DOJ's position emerged in August 2023 when it charged the developers of Tornado Cash, Roman Storm and Roman Semenov, with money laundering. This marked a pivotal moment, as it set a precedent for how similar cases might be handled in the future.
The ramifications of this interpretation extend beyond Tornado Cash, impacting other privacy-focused tools and crypto solutions as well. For instance, the co-founders of Samourai Wallet, a company known for its privacy-enhancing services, are also facing similar charges. The ongoing prosecutions indicate a broader trend where the DOJ may apply an unnecessarily broad interpretation of money transmission laws, thereby threatening the future of privacy-centric solutions.
In their letter, the crypto coalition points to two specific sections of the U.S. Code that define “money transmitting business.” They argue that understanding these definitions and the guidance from FinCEN is critical for preventing unjust prosecutions. By ignoring clear definitions and guidance, the DOJ could effectively render a chilling effect on software development related to cryptocurrency in the United States.
Call for Congressional Action on DOJ's Interpretation
The crypto group's letter implores Congress to take action and press the DOJ to amend its interpretation before it stifles innovation in the digital asset space. They fear that if these issues are left unaddressed, non-custodial software developers, who operate without holding customer funds, may find themselves facing unjust criminal liabilities.
The potential outcome of such a chilling effect would be detrimental, leading to a mass exodus of talented developers and innovators seeking more favorable regulatory environments abroad. This scenario would hinder the progress of blockchain technology and accompanying innovations that could otherwise thrive within U.S. jurisdictions.
Moreover, the coalition's concerns underscore the urgent need for clarification and cohesive action from regulatory bodies. An inequitable landscape, marked by contradictory positions from different government agencies, places law-abiding participants and innovators at a severe disadvantage. Stakeholders in the crypto community are now looking to Congress to help rectify these discrepancies and work toward a more definite regulatory framework.
In summary, as prominent crypto firms rally together to demand changes in the DOJ's interpretation of money transmission laws, the stakes are higher than ever for software developers and the broader digital asset industry. The ongoing legal battles and the ambiguity in regulatory guidelines signify that immediate action is crucial for safeguarding the future of blockchain innovation in the United States.
This situation continues to evolve, and individuals who are invested in the future of the crypto space should stay informed about legislative developments. By advocating for fair regulations that protect developers while ensuring compliance, stakeholders can contribute to a healthier and more vibrant digital asset ecosystem.