Reporting Required for Crypto Transactions
Requirements for Certain Transactions Involving Convertible Virtual Currency or Digital Assets
March 29, 2021
The Institute for Justice submitted comments in opposition to a proposed rule. It would create an intrusive and unnecessary government surveillance program in violation of the Fourth Amendment and other provisions of the U.S. Constitution.
Americans should not be forced to sacrifice their rights to participate in modern society. Yet that is precisely what the proposed rule would require. Because requiring banks to collect, store, and transmit personally identifying information associated with uncovered wallet IDs impinges on customers’ rights under the law and their reasonable expectations of privacy, it constitutes a search for which the government should be required to secure a warrant. Unfortunately, the proposed rule in no way requires a warrant or similar judicial authorization.