cryptocurrency

The Regulatory Framework for Cryptocurrency Released by the White House

  • President Joe Biden has ordered government agencies to weigh the pros and cons of cryptocurrencies.
  • The digital dollar may pave the way for the payment system according to the framework.

With cryptocurrency becoming more and more widely used, officials have been keeping a close eye on the industry. for example, SEC chair Gary Gensler Just yesterday he said that cryptocurrency will fall under federal securities laws.

The most recent event is the Biden administration’s proposal for a cryptographic framework for how the rules will be implemented. It is worth noting that President Joe Biden has directed government agencies to evaluate the pros and cons of cryptocurrencies and report their findings to him. In light of these results, the current framework was developed.

Focus on CBDC and Stablecoin

The Federal Reserve, in particular, will continue to “continue its ongoing research, experimentation, and evaluation of digital central bank currencies.” Moreover, a digital dollar could pave the way for a payment system that is “more efficient, provides a basis for further technological innovation, facilitates faster cross-border transactions, and is environmentally sustainable.”

Moreover, the digital dollar may pave the way for the payment system. This is “more efficient, provides a basis for further technological innovation, facilitates faster cross-border transactions, and is environmentally sustainable.”

However, creating a digital dollar qualified as something that should only be done if it served the “national interest.” The current Chairman of the Federal Reserve, Jerome Powell, previously stated that the primary motivation for the United States to launch its own digital currencies is to eliminate the use case of cryptocurrencies.

Due to the failure of terrestrial reservoirs in the Terra ecosystem, the authorities are monitoring the stablecoins. The recently released framework focused on the potentially disruptive effects of this asset class without proper regulation.

The framework also states that there is an “increasing entanglement” between cryptocurrencies and traditional banking. Thus, conflicts may have ‘indirect effects’.

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Andorra has adopted a legislative framework called the ‘Digital Asset Act’

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