On December 23, 2020, FinCEN proposed new rules for banks and money services businesses about how they handle transactions with virtual currencies or digital assets that have legal tender status. These rules focus on transactions over $10,000 and involve specific types of digital wallets. Initially, feedback was allowed until January 7, 2021, but the comment period was reopened for more input. This document further extends the deadline for comments to March 29, 2021, allowing more time for feedback on the proposed rules.
Simple Explanation
The government is thinking about making new rules for banks to tell them how to handle pretend money like Bitcoin when lots of it is being moved around. They want people to give their thoughts on these ideas, so they decided to give more time to share these opinions.