{"id":6842,"date":"2022-09-02T03:24:25","date_gmt":"2022-09-02T03:24:25","guid":{"rendered":"http:\/\/cryptoheretostay.com\/?p=6842"},"modified":"2022-09-02T03:24:26","modified_gmt":"2022-09-02T03:24:26","slug":"congress-questions-coinbase-ftx-binance-kraken-in-crypto-fraud-crackdown","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=6842","title":{"rendered":"Congress Questions Coinbase, FTX, Binance, Kraken in Crypto Fraud Crackdown"},"content":{"rendered":"<p> <script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<\/p>\n<p><strong>A House committee has sent letters to four U.S. federal agencies and five cryptocurrency exchanges asking for information about what they are doing to combat cryptocurrency fraud and scams.<\/strong><\/p>\n<h2>Congress Questions Regulators and Crypto Exchanges<\/h2>\n<p>The House Committee on Oversight and Reform sent letters to four U.S. federal agencies and five crypto exchanges on Tuesday in an effort to crack down on crypto-related fraud and scams.<\/p>\n<p>The four agencies are the Department of the Treasury, the Federal Trade Commission (FTC), the Commodity Futures Trading Commission (CFTC), and the Securities and Exchange Commission (SEC). The five crypto trading platforms are Coinbase, FTX US, Binance US, Kraken, and Kucoin.<\/p>\n<p>The letters request \u201cinformation about the steps they are taking to combat cryptocurrency-related fraud and scams and additional actions that are needed to protect Americans,\u201d explained Rep. Raja Krishnamoorthi (D-IL), who signed the letters.<\/p>\n<p>Krishnamoorthi, who chairs the Subcommittee on Economic and Consumer Policy, commented:<\/p>\n<p>As stories of skyrocketing prices and overnight riches have attracted both professional and amateur investors to cryptocurrencies, scammers have cashed in.<\/p>\n<p>The FTC said in June that since the start of 2021, more than 46,000 people have reported losing over $1 billion in crypto to scams. \u201cThat\u2019s about one out of every four dollars reported lost, more than any other payment method,\u201d the regulator noted.<\/p>\n<p>\u201cThe lack of a central authority to flag suspicious transactions in many situations, the irreversibility of transactions, and the limited understanding many consumers and investors have of the underlying technology make cryptocurrency a preferred transaction method for scammers,\u201d Krishnamoorthi emphasized.<\/p>\n<p>The lawmaker added:<\/p>\n<p>For all these reasons, I am concerned about the growth of fraud and consumer abuse linked to cryptocurrencies.<\/p>\n<p>\u201cNotwithstanding federal regulations, cryptocurrency exchanges must themselves act to protect consumers conducting transactions through their platforms. By implementing audit policies, requiring certain disclosures, delisting, and adopting other safety mechanisms, cryptocurrency exchanges can\u2014and should\u2014create safer environments for consumers,\u201d the congressman detailed.<\/p>\n<p>The letters ask the federal agencies and crypto exchanges to provide documents dated from January 2009 to the present by Sept. 12.<\/p>\n<p>Tags in this story<\/p>\n<p>Binance, Coinbase, Congress, crypto exchanges, Crypto Fraud, crypto scam, cryptocurrency exchanges, cryptocurrency fraud, federal regulators, ftx, House committee, treasury department<\/p>\n<p><em><strong>What do you think about Congress questioning federal agencies and crypto exchanges about their measures against cryptocurrency fraud and scams? Let us know in the comments section below.<\/strong><\/em><\/p>\n<p>Kevin Helms <\/p>\n<p class=\"article__body__author__info__about\">\nA student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography.<\/p>\n<p><i class=\"td-icon-font td-icon-mail-1\"\/><\/p>\n<p class=\"images_credits\"><em>Image Credits: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n<p><strong>Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<p>More Popular NewsIn Case You Missed It<\/p>\n<p><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/news.bitcoin.com\/congress-questions-coinbase-ftx-binance-kraken-in-crypto-fraud-crackdown\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A House committee has sent letters to four U.S. federal agencies and five cryptocurrency exchanges asking for information about what they are doing to combat cryptocurrency fraud and scams. Congress Questions Regulators and Crypto Exchanges The House Committee on Oversight and Reform sent letters to four U.S. federal agencies and five crypto exchanges on Tuesday [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":6843,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[1],"tags":[],"class_list":["post-6842","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-updates"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/6842","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6842"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/6842\/revisions"}],"predecessor-version":[{"id":6844,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/6842\/revisions\/6844"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/6843"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6842"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6842"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6842"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}