President Joe Biden to sign an executive order for crypto regulation

It’s been a long time coming, but it looks like crypto regulation is finally on the horizon in the United States. According to reports, President Joe Biden will sign an executive order aimed at bolstering crypto regulation within the next few days. Sources indicate that the initial efforts will be focused on conducting studies on regulating and issuing cryptocurrency.

This is good news for those who have been calling for more clarity and trust in this area, as well as for investors who want to see greater stability in the crypto markets.

Crypto regulation oversight may be shared amongst several agencies

Commodity Futures Trading Commission (CFTC) chair Rostin Behnam indicated last that he wanted the committee to be tasked with the regulation of the crypto spot market. Behnam also asked if the CFTC could work together with the Securities and Exchange Commission (SEC)  to share the responsibility for crypto regulation, and it looks like President Joe Biden is taking steps to make it a reality. In an executive order set to be signed this week, the president will direct federal agencies to begin working on a plan to regulate the cryptocurrency market – this includes CFTC, SEC, the Financial Crimes Enforcement Network, and the Office of the Comptroller.

This move comes as no surprise given the increasing popularity of crypto assets and the groundswell of concerns amongst US citizens about the rising costs of inflation. With this executive order, the president is sending a clear message that his administration is taking crypto regulation seriously and is ready to respond to consumer demand. With the sheer number of agencies potentially involved in the studies and possibly regulation oversight – it looks like some guidance will be expected soon.

Will crypto regulation protect consumers?

Only time will tell how this executive order will impact the crypto-asset market overall. Many industry participants feel that crypto regulation is necessary in order to protect consumers and foster innovation in the space. However, others worry that too much regulation could stifle growth and innovation. There are also looming concerns that have yet to be addressed from high-ranking officials like SEC Commissioner Hester Pierce about the already “fragmented regulatory systems”.

It remains to be seen exactly how this new regulatory regime will take shape and its impact on existing systems, but it’s clear that the days of crypto being a Wild West are numbered. So if you’re thinking about investing in cryptocurrency, now is the time to do your homework and make sure you understand the risks involved. 

Stay tuned for more updates as this story develops.