According to multiple reports, the Pentagon and the Defense Department are debating on whether or not cryptocurrency ownership is a problem for those who have U.S. security clearances and those applying for these privileges. The U.S. agencies may define digital currency owners as a 'security risk' in order to protect foreign and domestic classified information.
If You Own Bitcoin and Have U.S. Security Clearance Then You Might Have a Problem
American bureaucrats are deliberating on whether or not they should flag cryptocurrency investors who have special security clearances to classified government information. An individual who owns a cryptocurrency like bitcoin or ethereum, may be considered "risky" in the eyes of the Pentagon. This past February the Defense Security Service (DSS) and the Pentagon revealed they were working on guidelines for reporting cryptocurrency ownership. According to another report published on May 22, the debate is currently being argued and government contractors are already upset about the backlog of other security clearance issues.
A director for Financial Services Innovation at Carnegie Mellon University, Param Vir Singh, believes cryptocurrencies do have security risks.
"There are a lot of good things about cryptocurrencies, but at the same time there are these security risks," explained Param Vir Singh this week.