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Federal Reserve Governor Waller: Financial institutions involved in cryptocurrencies have a key task of guarding against fraud

February 11, 2023
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Federal Reserve Governor John Waller told a cryptocurrency conference in La Jolla, Calif., that cryptocurrencies are nothing more than a speculative asset and that financial institutions involved in the space have an additional responsibility to guard against fraud.

Know-your-customer and anti-money laundering compliance faces a critical task for banks considering engaging in crypto-asset-related activities, which must not be overlooked. “If people want to hold assets like this, go for it.

And I won’t do it. If you buy a crypto asset and at some point its price drops to zero, don’t be surprised, and don’t expect taxpayers to share your losses.

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