Press Enter to search · ESC to close

Crypto Regulation

Coin Center: Revised BRCA Drops Explicit Criminal Shield for Non-Custodial Developers

Coin Center said the latest revised BRCA text removes explicit criminal-liability protection for developers who do not control user funds under 18 U.S.C. § 1960. The revised text still shields non-custodial developers from being treated as money transmitters under the Bank Secrecy Act and FinCEN rules, making prosecution for lacking a money transmitter license harder. But it does not block prosecutors from arguing developers knowingly transmitted criminal proceeds — the theory central to the Roman Storm and Samourai Wallet cases.

Original source

AI take

The distinction matters because it separates licensing exposure from substantive money-laundering exposure. Non-custodial developers may still face arguments that they knowingly transmitted criminal proceeds, the theory driving the Storm and Samourai prosecutions, even as the money-transmitter classification route narrows. For builders of privacy and self-custody tooling, the practical risk profile shifts rather than disappears. Whether prosecutors continue pursuing that theory, and whether later legislative text restores an explicit shield, is the open question worth tracking.

Generated by AI for reference only.

Share

Related News

TREE NEWS share card
Long-press image above → Save to Photos / Share
Pitch us Feedback