As if cracking down of the crypto trade in China wasn’t bad enough news for cryptocurrency investors, now the White House is making an executive order to follow a regulation path, too. Biden administration intends to engage all relevant government entities – from the national security agencies and the financial regulators to the National Science Foundation – in a far-reaching push to oversee the $2 trillion crypto trading world.
The stance to regulate trading in other digital asset classes like non-fungible tokens (NFTs) and crypto has been impending for a while. The US authorities have been collecting an ever-increasing amount of worrying signs from the crypto market. These range from ransomware attacks on critical infrastructure to NFT scam complaints by regular investors. Not to mention, that cryptocurrency is usually used by bad actors as an untraceable payment system, forcing the government’s hand.
The final shape of the executive order is yet unclear but it will definitely make cryptocurrency news when it lands. After all, the White House has to be aware not to suppress financial innovation still offer sufficient enough investor protection against market unpredictability and complete scams.