New Executive Order to Regulate Cryptocurrency under Consideration
Timothy St. John • 2 min read
Cryptocurrency could be seriously affected by a new executive order from the Biden administration. No order has been passed yet, but it is currently under consideration and would affect national security, financial regulation, and economic innovation. Digital currencies could also fall under the oversight of various government agencies and someone informally referred to as a “crypto czar”, according to White House sources.
If passed, this new executive order could see federal agencies designated to make recommendations on cryptocurrency of all kinds. There have been reports for months of impending U.S. government action on the cryptocurrency market. Newswire was told by an official from the Biden administration that the US government is developing a strategy for cryptocurrencies and that said strategy will be made public.
Crypto Is Doing Great Now, but Could That Change?
Cryptocurrency prices are on the rise at the moment, but that could change in the wake of new government regulations. New rules and limitations on cryptocurrency could seriously affect how easy it is to trade between cryptocurrencies, make trades between countries, and cash out cryptocurrency for fiat money. Currently, there are few restrictions for crypto currencies outside of a handful of countries that include China and Russia.
Rates for Bitcoin, Theta, Ethereum, Dogecoin and others have greatly increased since the beginning of the month, signaling a healthy crypto market with a massive trade volume. How new regulations will affect that and what those regulations would entail remains to be seen, but a lot of investors are being very wary at the moment.
Bitcoin is seeing its highest prices since April (which was when it experienced its all-time high). Cryptos like that which are considered mainstream at this point could survive a major market shift and new regulations, but some of the smaller cryptos are likely to suffer severe consequences as they could become harder to access and trade with.
At this point, no one knows for sure what new US government regulations for crypto will look like and when they will go into effect.