2 November 2024
US President To Issue Executive Order On Cryptocurrency
US President Joe Biden is expected to sign an executive order on Cryptocurrency in a few days. It will mark the first step toward regulating how digital currency is traded.
The decision was taken after concerns over Russia's use of Cryptocurrency to evade the impact of crushing sanctions in response to its invasion of Ukraine.
The sanctions issued on Russia have sent the ruble to historic lows and have closed the country's stock market.
According to sources, the executive order on Cryptocurrency was expected to be issued this week, and it had been in the works long before the war.
The order will describe what government agencies need to do to develop policies and regulations on digital currencies.
The order is expected to include a request for the State Department to ensure that American Cryptocurrency laws are aligned with those of US allies and will ask the Financial Stability Oversight Council — which monitors the stability of the US financial system — to study illicit finance concerns.
Also, the order will study the possibility of a new central bank digital currency. In January, the Federal Reserve issued a paper that explores the risks and benefits of US-backed digital currency.
One of the senior administration officials discussed the condition and said that the president's national security team has already been on the lookout for the use and creation of front companies and alternative financial institutions that Moscow might try to employ to get around sanctions.
Disclaimer: The author’s thoughts and comments are solely for educational reasons and informative purposes only. They do not represent financial, investment, or other advice.
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