What Has Your Crypto Touched?
Cryptocurrency has long been a target of scrutiny by traditional financial institutions, with banks frequently closing accounts that interact with digital assets. This isn’t just paranoia or anti-crypto sentiment — it’s about risk management, compliance, and the global effort to control illicit financial flows. Banks operate under the oversight of the FDIC and other regulatory bodies, which demand strict adherence to anti-money laundering (AML) and know-your-customer (KYC) regulations. The U.S. government has made it clear that it prioritizes tracking financial transactions to prevent terrorism financing, human trafficking, and drug manufacturing. When a bank detects cryptocurrency activity, the reaction isn’t about a bias against crypto — it’s about minimizing regulatory exposure and legal liability. Imagine this scenario: You’re HODLing Bitcoin that has passed through a wallet flagged as belonging to ISIS. You had no idea, and perhaps the person you bought it from didn’t ...