In a bipartisan effort, US Senators Elizabeth Warren and Bill Cassidy have called upon US authorities to take action against the use of cryptocurrency in the illegal trade of child sexual abuse material (CSAM). The pseudonymity of cryptocurrencies has played a significant role in enabling the movement of payments for such illicit activities into the digital realm. This alarming trend has prompted the lawmakers to address the urgent need for legislative and administrative measures to combat this issue.
Reports from Chainalysis and the Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) have highlighted the growing problem of crypto-based sales of CSAM. Virtual currency has emerged as the preferred method of payment among buyers and sellers of commercial CSAM content. The use of virtual currencies by perpetrators seeking to avoid detection has raised concerns about the effectiveness of current anti-money laundering measures and law enforcement strategies.
Senator Warren, a vocal advocate for strict crypto regulations, has been at the forefront of promoting legislative measures aimed at addressing the misuse of digital assets in illicit trades. Together with Senator Cassidy, she is pushing for a combined effort between Congress and the Administration to equip both bodies with the necessary tools to effectively combat the issue. The senators emphasize the need for strong anti-money laundering measures and effective enforcement strategies to close gaps in the current financial regulatory framework.
The Role of Internet Watch Foundation
The Internet Watch Foundation (IWF) has reported a significant increase in the number of websites accepting cryptocurrency for CSAM, with the number doubling annually since 2018. This concerning trend further underscores the urgent need for action to prevent the exploitation of digital assets in facilitating such harmful trades.
The bipartisan letter from Senators Warren and Cassidy marks a critical step towards legislative action to address and mitigate the risks associated with the growing use of cryptocurrency in the trade of child sexual abuse material. As the prevalence of crypto-based transactions in illicit activities continues to rise, it is imperative for lawmakers and authorities to take decisive measures to safeguard vulnerable individuals and combat these crimes effectively.