An Executive Order with regard to crypto is expected to come out from the White House which would empower risk assessing authorities of the US to declare crypto as a ‘threat’ concerning ‘national security. Digital products such as cryptocurrencies along with stablecoins, Metaverse, and Non-Fungible Tokens will all be studied thoroughly and a comprehensive report is expected from the US’s risk assessing authorities. Or perhaps a broader crypto crackdown may be an option for the Biden-led US Government.
A rumor is surfacing in the US suggesting that the White House will be issuing an Executive Order with regard to crypto. Various news items suggested that the Executive Order is expected to be signed by President Biden within two to three weeks.
One of the news sources suggested that the Executive Order will be approved under the memorandum of national security. It has been reported in the press that President Biden wants to empower certain US entities whose work is to assess the risks. Under the Executive Order, these risk assessing authorities will be required to study the entire digital asset industry with the perspective of risk determination. Cryptocurrencies, as well as digital products such as NFTs, Metaverse, and stablecoins, will be studied altogether. The objective of the study/analysis is to set up a regulatory roadmap/infrastructure for the digital asset industry. But until the study is not concluded, the authorities will be declaring the digital asset industry as a ‘threat’ that could affect ‘national security.
The source who broke this news also claimed that crypto policies are expected to be launched soon. The agenda of the Government is to bring coherency in the existing laws with the crypto laws that are to be prepared.
Rumors of the White House issuing Executive Order in two to three weeks have become headlines for many days at the local and international press.
White House has its own reasons to declare crypto and products alike as a national security threat. Perhaps this is because crypto is currently the most successive tool for sending and receiving small and huge funds anywhere in the world. However, since blockchain has a decentralized structure, therefore it does not come under the surveillance of any regulatory authority of the world. This is why Biden Administration has been pushing for immediately introducing some policies with regard to the digital asset industry. Meanwhile, chances of collaboration with other countries of the world for uniform crypto regulations can also become a reality.
One of Bloomberg’s analysts, Eric Balchunas, argued that Biden Administration thinks that the digital asset industry is actually a threat to national security. He argued further that perhaps this is the rationale why Bitcoin spot ETFs have been failing in the US for obtaining permissions. At one point in time, Balchunas had suggested that a broader crypto crackdown may be forthcoming.