US Watchdog to Assess DeFi's Impact on Financial Crime

A United States financial regulator is looking to gain feedback from the banking industry about how DeFi may affect the bureau’s efforts to stop financial crime. This comes as concerns grow about the increasing use of decentralized finance (DeFi) platforms for illicit activities.

Treasury Department Releases Illicit Finance Risk Assessment of DeFi

Today, the United States Treasury Department released its Illicit Finance Risk Assessment of Decentralized Finance (the “assessment”). The assessment highlights key DeFi vulnerabilities. The primary vulnerability exploited by illicit actors stems from DeFi services’ failure to comply with AML/CFT regulations and sanctions obligations, the report finds.

DeFi and AML/CFT: A Growing Concern

The report includes recommendations for US government actions to mitigate the illicit finance risks associated with DeFi services, including: Strengthening AML/CFT regulations. The lack of regulatory oversight is a significant factor contributing to the risk, as highlighted in the assessment.

DeFi Regulatory Framework in the US: An Overview

As of 25 de sept. de 2025, the regulatory landscape for DeFi in the US is still evolving. In this article, we’ll provide a brief overview of the current regulatory framework for DeFi in the US. Existing laws apply to crypto and DeFi – there is no doubt about that. However, the application and enforcement of these laws are complex.

Hacks, Attacks, and Market Volatility

Hacks and attacks on DeFi platforms have been detrimental to the entire market. A whopping $3 billion was wiped out of the market this year alone, underscoring the urgent need for regulatory clarity and robust security measures to combat financial crime within the DeFi ecosystem.