Poor cyber security across the cryptocurrency industry enabled North Korea to steal over a billion dollars to fund its aggressive missile program, according to the White House.
In a press release issued Friday titled a "Roadmap to Mitigate Cryptocurrencies’ Risks," the White House stressed its focus on continuing to ensure that cryptocurrencies cannot undermine financial stability, to protect investors, and to hold bad actors accountable.
It said that some cryptocurrency entities ignore financial regulations and basic risk controls and related platforms and promoters often mislead consumers, have conflicts of interest, fail to make adequate disclosures, or commit outright fraud.
While noting that agencies are ramping up enforcement, the White House said that more needs to be done and urged cooperation from Congress asking it to expand regulators’ powers to prevent misuse of customer assets and strengthen transparency and disclosure requirements for cryptocurrency companies so that investors can make more informed decisions.
It added that while the administration wholeheartedly supports technological innovations, new technologies need corresponding safeguards to ensure that they are secure and beneficial to all.