U.S. Treasury Deputy Secretary "concerned about the use of cryptocurrencies in illicit financial activities"; South Korea arrests two football NFT fraudsters worth 3 billion won

"The Treasury Department is deeply concerned about the use of cryptocurrencies in any illicit financial activity," said Brian Nelson, Under Secretary for Terrorism and Financial Intelligence at the U.S. Department of the Treasury, in a statement released ahead of an upcoming U.S. Congressional hearing on digital assets. "While authorities can take action against companies that fail to comply with the Bank Secrecy Act, additional tools and resources are needed to combat illicit finance. We recognize that terrorist groups may rely on digital assets for illicit financing." While not included in the statement, the Treasury also noted that stablecoins need more oversight. Meanwhile, the House Financial Services Committee's subcommittee on digital assets will hold the second part of a hearing on the role of cryptocurrencies in crime and illicit finance on April 16 at 4 a.m. ET.

Meanwhile, according to South Korea's Dong-A Ilbo, police have confirmed that they are investigating Company A, Company B, and a related person, Mr. C, for allegedly defrauding investors with the NFT Project G coin, which featured soccer players, celebrities, and others. Police believe the coin has caused dozens of people to lose around 3 billion won since it began recruiting investors around March 2021. Mr. C was previously named as a key figure in the W Coin scam, which allegedly involved a former lawmaker, a former regional police chief, and a major YouTuber.