© Reuters
SAN FRANCISCO – In a pointed response today, Coinbase (NASDAQ:)’s Chief Legal Officer, Paul Grewal, challenged the findings of a recent U.S. Government Accountability Office (GAO) report. The report suggested cryptocurrency could play a role in sanctions evasion. Grewal highlighted the report’s shortcomings, particularly its lack of comparative analysis and inherent contradictions.
Grewal argued that public ledger systems, which are foundational to cryptocurrency operations, provide transparency that aids in tracking transactions. This feature, he pointed out, serves as a deterrent to potential misuse for illicit activities. In an interesting turn, the GAO itself recognized the utility of these ledger systems in tracing cryptocurrency transactions, which aligns with Grewal’s assertions about their effectiveness in preventing sanctions evasion.
As cryptocurrencies continue to integrate into the global financial system, the balance between innovation and compliance remains a critical point of discussion for industry leaders and regulatory bodies alike.
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This story originally appeared on Investing
