This week, President Biden revealed a highly anticipated executive order on crypto. But, instead of the regulatory Cujo many thought it would be, it was more like a golden retriever. Nevertheless, blockchain big-shots such as the Winklevoss twins praised it online, claiming that the White House had at long last recognized the legitimacy of cryptocurrency.
What's going on?
The president appealed to government agencies to look at both the benefits and drawbacks of digital assets, with a few recommendations.
- Consumer safety: One of the next priorities for the Treasury was to create rules to safeguard customers from frauds, cyberattacks, and other illicit activities that are increasingly prevalent
- Environmental impacts: Digital currencies have received a reputation for having high energy costs, and the US wants to reduce them.
- Digitizing the dollar: Following China's lead, the United States is exploring the creation of its own digital currency.
The document also stated that the United States aims to establish itself as a global leader in the cryptocurrency sector. Although planting that tree may have been best five or so years ago, now may be an excellent moment—considering how China effectively banned crypto last year.
It’s "a watershed moment for crypto, digital assets, and Web 3, akin to the 1996/1997 whole of government wake up to the commercial internet,” Circle's CEO Jeremy Allaire tweeted following Biden's order.