WASHINGTON–The Federal Reserve and Treasury have announced a proposed rule related to the Financial Crimes Enforcement Network (FinCEN) and changes to recordkeeping and travel rule regulations under the Bank Secrecy Act.
The Fed and FinCEN said they were issuing the portion of the rule concerning recordkeeping jointly because of their shared authority; the portion on travel is issued singly by FinCEN as it has sole authority over that area.
The two organizations noted under current rules, financial institutions must collect, retain, and transmit certain information related to funds transfers and transmittals of funds greater than $3,000. But under the proposal the applicable threshold for international transactions would drop to $250; the threshold for domestic transactions would remain the same ($3,000).
The proposal is now out for 30-day comment.
According to a joint statement, the proposal clarifies the meaning of “money” as used in certain defined terms and “further clarifies that those regulations apply to transactions above the applicable threshold involving convertible virtual currencies, as well as transactions involving digital assets with legal tender status.”
The proposal can be found here.