Reading time: ~2 m
The US Treasury published a press release about the introduction of new cryptocurrency regulation rules, but soon removed it. The press release reported that Joe Biden issued a “historic” Digital Assets Executive Order that requires federal agencies to report to the government on their efforts as part of what the Treasury called “a coordinated and comprehensive approach to digital asset policy.”
Treasury Secretary Janet Yellen said:
“This approach will support innovation that can bring significant benefits to the nation, consumers and businesses. It will also eliminate the risks associated with illegal financing, protect consumers and investors, and prevent threats to the financial system and the economy as a whole.”
According to the Decree on Digital Assets:
- The Ministry of Finance will collaborate with other government agencies to produce a “report on the future of money and payment systems”;
- The Financial Stability Oversight Board will be asked to “assess the potential financial stability risks associated with digital assets and assess the availability of appropriate guarantees”;
- the government will work with “international partners” regulators to “promote robust standards and a level playing field”.
On Twitter, the head of crypto fund Ikigai Asset Management, Travis Kling, predicted that Bitcoin (BTC) will have a tough road ahead as the new rules are passed.
“Now absolutely nothing threatens the medium / long term investment attractiveness of Bitcoin and other assets of this class. The near term is highly uncertain and there are significant risks. But this technology and asset class will make a huge difference going forward.”
Meanwhile, the Treasury Commission on Financial Literacy Education has announced the creation of a new initiative that aims to educate the general public about the potential risks of investing in crypto assets.
Nelli Liang, deputy finance minister for domestic finance, told Reuters that “populations with limited access to basic financial services” are “a key audience that the ministry will seek to educate about this.”
“We hear more and more about investors and households buying crypto assets, and we recognize the complexity of how some of these assets operate.”
#Treasury #released #removed #announcement #introduction #cryptocurrency #regulations