When Bitcoin is receiving attention and becoming an alternative to fiat, Wells Fargo & Co cannot ignore its role. Now, the company has called finance executives, virtual currency experts and U.S. government representatives. It is inviting all these people to discuss “rules of engagement” with Bitcoin amid concern about the money laundering risk of the currency.
The meeting of the concerned people is scheduled for Tuesday in San Francisco and expected to focus on the security issues surrounding banking and security. The scheduled meeting is also expected to discuss about financial regulators warning to consumers on the risks of using unregulated online currencies.
The Bank Will also Study Money Laundering Issues
Bitcoin which according to the U.S. government can be used for money laundering has shown its concern quite frequently. Now, Wells Fargo is not willing to endorse the issue of money laundering and for that its anti-money laundering chief, Jim Richards, has launched a group to examine how the bank might safely offer Bitcoin-related services.
The group is expected to study the issue of money laundering and pave ways to rule out this and for that it will interact with virtual currency entrepreneurs. Arrangements will be made so that money laundering, which has been a bone of contention between Bitcoin companies and the government, is ruled out.
It has also been reported that Wells Fargo & Co aims to draw up a new set of anti-money laundering rules for financial institutions to follow. The organization realizes that financial institutions when dealing with virtual currency start-ups, keep it in mind that if Bitcoin is used for money laundering they will lose their argument of fair use.
Wants to Expand its Reach and Customer Base
Wells Fargo & Co, the fourth-largest U.S. bank by assets can help Bitcoin expand further and solve the existing ambiguities with respect to its use in money laundering. Now that the bank has shown interest in dealing with a potential new Bitcoin economy, and willing to solve regulatory uncertainty that deter banks from offering services, the market is positive.
The giant banking organization has more than 9,000 retail branches and over 12,000 automated teller machines in 39 states and the District of Columbia. The new measure on the part of a “Big Four bank” with over 70 million customers will help it further its reach.
Currently, Fargo is the world’s biggest bank by market capitalization, worth $236 billion, beating ICBC.
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