Biden May Issue Executive Order on Crypto Regulation This Week: Report
US President Joe Biden is likely to move an executive order to regulate cryptocurrency this week, according to media reports.
According to a memorandum from the U.S. National Security Council (NSC) memorandum, government agencies, including the departments of Treasury, State, Justice, and Homeland Security, will be asked to assess risks and the opportunities that crypto poses, and to delve into the details of a central bank digital currency, Bloomberg News quoted an administration official last month.
The agencies will also examine the impact of digital assets on financial stability and standardize crypto regulations with other countries.
The Biden administration had, in September last year, issued recommendations proposing that only banks be allowed to issue stablecoins.
The administration’s intervention is “symbolically significant as the White House would recognize that crypto is becoming economically important,” said Jaret Seiberg, an analyst at Cowen – a financial services firm – as quoted by Yahoo Finance.
Seiberg added that this reinforces the idea that crypto is here to stay.
“The White House wouldn’t issue such an order unless it was confident that crypto would continue to grow and spread throughout the economy,” he added.
The executive order could also offer the White House the opportunity to weigh in on a digital dollar, according to the report.
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