Bitcoin (BTC) managed to recover in the early hours of Wednesday and the US June Minister Janet YellenIt managed to escalate even further, with erroneously published statements by President Joe Biden stating that it will provide a constructive approach to the upcoming crypto regulations.
A presidential executive order on cryptocurrencies contained the message that it would ‘support responsible innovation’ as it coordinates US policy across agencies, Yellen said in a statement scheduled for release Wednesday but released late Tuesday. “Under the executive order, the Treasury will partner with its cross-agency colleagues to produce a report on the future of money and payment systems,” Yellen said.
After CoinDesk posted Yellen’s comments, Bitcoin buy orders surged and rose nearly 7% to $41,900, calming the nerves of the market. According to CoinDesk data, other leading cryptocurrencies such as ETH, SOL, LUNA also followed this rise.
“Based on reviews, it calls for a coordinated and comprehensive approach to digital asset policy that will foster positive and responsible innovation in cryptos,” said Cameron Winklevoss of Gemini Trust.
Winklevoss said, “I congratulate this constructive approach to thoughtful crypto regulation and look forward to working with the various stakeholders to ensure the US remains a leader in crypto.”
The White House’s long-awaited executive order on cryptocurrencies has urged wealthy Russians to dodge economic sanctions imposed by the West. Bitcoin (BTC) and has attracted a lot of attention recently due to speculation that it could use stablecoins. As such, several analysts are worried that the Biden administration will take a hard line on the burgeoning crypto industry.
While Yellen’s comments reveal a balanced approach, concerns remain regarding the use of crypto for illicit financing. Yellen’s now-deleted statement read: “The executive order will address the risks associated with illegal financing, protecting consumers and investors, and preventing threats to the financial system and the broader economy.”
The March 9 statement was posted on the Treasury Department’s website on Tuesday night and was removed shortly after publication.