The process of creating cryptocurrency regulations in the United States is set to begin, as President Joe Biden is expected to sign a relevant executive order this week.
What Happened: The executive order will task U.S. federal agencies with examining the risks and opportunities posed by cryptocurrencies, according to a Monday Bloomberg report. Anonymous sources reportedly said that U.S. authorities are concerned that Russia could leverage cryptocurrencies to circumvent the international sanctions imposed on the country following its invasion of Ukraine.
See Also: IS REGULATION BAD FOR CRYPTO?
White House anchor at CNBC Kayla Tausche confirmed that the "Biden administration will release its long-awaited crypto [executive order] by mid-week, aiming to coordinate policymaking for digital assets among various agencies, expected to report back over the next 3-6 months."
Jennifer Epstein, White House reporter at Bloomberg, tweeted that the order would outline the administration's "view of digital assets and directing a further study of economic, regulatory, and national security issues."
The news follows a recent statement by major U.S.-based cryptocurrency exchange Coinbase (NASDAQ:COIN) Global Inc. (NASDAQ: COIN) illustrating reasons why cryptocurrencies are not well suited for sanction evasion purposes and claiming that the traditional financial system provides much better avenues for money laundering on those scales.
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