By Gabrielle Clark & Koa DeMarzo
The Digital Chamber (TDC) supports the STREAMLINE Act, which would update long-standing banking rules to reflect today’s rapidly advancing economy. S. 3017 was introduced on October 21 by Senate Banking Committee Chairman Tim Scott, along with eight other members of the Committee. The act would raise outdated reporting thresholds and reduce unnecessary filings on lawful transactions for consumers and small businesses.
Key Provisions
- Modernizes thresholds for currency transaction reports and suspicious activity reports to reduce the likelihood of routine legal transactions triggering reports.
- Regular inflation adjustments every 5 years to keep thresholds up to date. Thresholds in the Bank Secrecy Act (BSA) have not been updated since the bill was signed into law in 1970.
- Reduces unnecessary administrative friction, ensuring oversight efforts can be concentrated where they have the greatest impact on identifying genuine risks.
- Focus Areas for Regulation
Adjust anti-money laundering reporting thresholds to reflect the current state of today’s economy.
Who is affected?
Financial institutions, including those in the digital asset industry, see clearer thresholds and reduced paperwork, which improves efficiency. Small businesses and consumers face fewer wrongful flags and account closures, with stronger protections for lawful activity. Regulators receive higher-quality reports that focus resources on real risks.
What the Streamline Act means for you:
- More privacy: Your everyday banking activity is less likely to be flagged or reported.
- Fewer account closures: Small businesses and entrepreneurs are less likely to have their accounts closed for making legal, albeit large, transactions.
- Less red tape: Banks can spend less time on unnecessary paperwork and more time on services and innovation that benefit customers.
Our Take
As the world’s leading blockchain association, TDC supports the STREAMLINE Act as a practical reform that would improve privacy, reduce red tape, and enhance the focus of enforcement. The STREAMLINE Act would align reporting with today’s financial reality, aiding institutions in serving customers while reducing unfair account closures and improving information available to regulators.
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