Letter in Response to RFI on Detecting Illicit Activity Involving Digital Assets

ICBA sent a letter to the Treasury Department in response to the request for comment on innovative methods to detect and deter illicit activity involving digital assets. ICBA noted that although most community banks currently have limited direct exposure to digital assets, whether through custodial services or various stablecoin-related activities, they remain on the frontlines in the ongoing fight against fraud and scams. ICBA said community banks remain open to exploring the potential capabilities of payment stablecoins, but their promise rests on the government’s ability and willingness to deter the skyrocketing growth of illicit finance in the digital economy.