TechFlow news, January 15 — According to Decrypt, Manhattan District Attorney Alvin Bragg urged state lawmakers on Wednesday to criminalize unauthorized cryptocurrency operations during a speech at New York Law School. Bragg warned that regulatory gaps are fueling a $51 billion criminal economy, enabling criminals to easily launder proceeds from guns, drugs, and fraud.
Bragg specifically highlighted the issue of unauthorized crypto ATMs, which charge up to 20% fees to convert "dirty money" into digital assets. He proposed mandatory licensing and know-your-customer (KYC) requirements for all cryptocurrency businesses, backed by criminal penalties. If passed, the proposal would make New York the 19th U.S. state to criminalize unauthorized crypto operations.
Additionally, Bragg raised concerns about scams such as "pig-butchering" schemes, which have already caused many elderly individuals to lose their life savings. Experts say combating crypto-related crime requires not only law enforcement commitment but also investment in blockchain forensics tools and enhanced technical capabilities for investigators.
