Cryptocurrency

The White House presented plans to regulate cryptocurrencies. How would the US regulate cryptocurrency? 

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The White House has prepared the first framework regarding U.S. authorities’ plans to regulate the cryptocurrency market. How would the US regulate cryptocurrency? This was reported by CNBC, citing U.S. President Joe Biden’sadministration.

The document reports that the U.S. president will consider the need to call on the U.S. Congress to make amendments to the Bank Secrecy Act. The edits are expected to affect not only cryptocurrency providers, but also NFT marketplaces.

Also, the authorities will consider the issue of tougher penalties for businesses for illegal financial services. The media assume that with such toughening, the U.S. Department of Justice may have more powers to punish activity on the crypto market.

Is cryptocurrency legal in the United States? 

Is cryptocurrency legal in the United States? Currently, they are not regulated in any way. The U.S. Treasury Department intends to complete a risk assessment of illicit activity through decentralized finance (DeFi) as well as the NFT market by the end of 2023. The Biden administration has also urged the Fed to investigate the development of a digital government currency, but details are not yet available.

The White House also took a stab at stablecoins. According to U.S. authorities, the stablecoin market could provoke “devastating consequences” if it does not fall under existing standards for regulating financial services. To “safeguard” stablecoins from potential risks, the U.S. Treasury Department will increase its interaction with financial institutions to “identify, monitor and analyze strategic risks associated with cryptocurrency markets.”

Recall that Biden issued an executive order directing various agencies within the federal government to prepare reports on cryptocurrencies in March 2022. According to the executive order, the agencies will study the possibility of creating a digital version of the dollar, and the DOJ must decide if new legislation needs to be drafted.

We previously reported that Vietnam is leading the way in the adoption of cryptocurrencies.

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