• The White House has released a roadmap to reduce the risks associated with cryptocurrency.
• The Biden Administration is developing a cryptocurrency legal framework over the coming months.
• The roadmap outlines the administration’s approach to mitigating cryptocurrency threats, creating digital assets securely, and holding bad actors accountable.
The White House has released a roadmap outlining the Biden Administration’s approach to reducing the risks associated with cryptocurrency. In the face of a tumultuous year for the crypto market, with investors facing severe lows and the collapse of the LUNA/Terra, and the bankruptcy of significant corporations like FTX, the Administration is taking a proactive stance to ensure that cryptocurrencies do not threaten financial stability, protect investors, and hold bad actors accountable.
The roadmap, published in an official blog post, states that the Administration has spent the past year identifying the risks of cryptocurrencies and devising ways to mitigate them using the executive branch’s authorities. The document goes on to detail the entities that disregard financial regulations and risk practices, as well as cryptocurrency platforms and advocates that frequently mislead users, have conflicts of interest, and fail to disclose adequately or perpetrate massive fraud.
In order to create a secure and sustainable digital asset framework, the Administration is developing a cryptocurrency legal framework over the coming months. The framework will address the risks posed by cryptocurrencies, as well as provide rules and regulations that hold bad actors accountable. The Administration is also encouraging the public to share their thoughts and feedback on the proposed framework.
The Administration is also working to ensure that investors are protected from fraud and abuse by enhancing enforcement actions and developing a comprehensive approach to regulating digital assets. They have also been working to increase transparency and disclosure of crypto-related activities, as well as improve consumer education and outreach.
By issuing this roadmap, the Biden Administration is setting a new standard for cryptocurrency regulation, and their efforts will lead to a healthier, more secure crypto market. With the Administration’s guidance, investors can have confidence that their investments are being protected and that the market is being held to the highest standards.