U.S. pushes digital identity as cornerstone of crypto ambitions
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# U.S. pushes digital identity as cornerstone of crypto ambitions
Treasury calls on financial institutions, tech firms, and the public to weigh in
Aug 18, 2025, 3:19 pm EDT | Anthony Kimery
Categories Biometrics News | Civil / National ID | Financial Services
The Trump administration is escalating its campaign to make the United States the “crypto capital of the world,” placing digital identity at the center of its digital assets strategy.
A request for comment from the Department of Treasury that was mandated by the _Guiding and Establishing National Innovation for U.S. Stablecoins Act_ (GENIUS Act) underscores how central identity verification has become to Washington’s vision of a blockchain-driven financial future.
The notice, published Monday in the _Federal Register_ , calls on financial institutions, technology companies, and the public to weigh in on “innovative or novel methods, techniques, or strategies to detect and mitigate illicit finance risks involving digital assets.”
Specifically, Treasury is seeking ideas on four technological pillars: application programming interfaces (APIs), AI, blockchain monitoring, and digital identity verification.
“Innovative tools are critical to advancing efforts to address illicit finance risks but can also present new resource burdens for financial institutions,” Treasury said. “As required by the GENIUS Act, Treasury will use public comments to inform research on the effectiveness, costs, privacy and cybersecurity risks, and other considerations related to these tools.”
The request for comment fulfills a requirement of the GENIUS Act, which was signed into law by President Trump in July, and aligns with his broader executive order on _Strengthening American Leadership in Digital Financial Technology_.
Together, these moves reflect a sharp pivot from regulatory hesitancy to an assertive embrace of cryptocurrency infrastructure. In the administration’s framing, digital identities are not merely compliance tool