OFAC Publishes New Guidance For The Virtual Currency Industry

The U.S Department of the Treasury's Office of Foreign Assets Control (OFAC) has published guidance to aid members of the virtual currency industry (ranging from tech companies to brokers to users) in complying with OFAC requirements. OFAC defines "virtual currency" to encompass non-sovereign, non-fiat currencies that can be used as a store of value or as a medium of exchange—a category inclusive of most cryptocurrencies, including common tokens such as Bitcoin or Ether. OFAC views the increased use of virtual currency in the world economy as presenting significant risks that sanctioned persons could exploit to evade sanctions and undermine U.S. foreign policy and national security interests.