With the new rules coming into effect today, from now on, FED employees will be able to buy stocks, bonds and cryptocurrency trading is prohibited.
The Federal Open Market Committee (FOMC), which made a new statement for the regulations whose signals were given in October, announced that the said restrictions will come into effect as of May 1.
Cryptocurrency Trading Ban Will Be Effective May 1st
It was learned that the bans would cover FOMC members, regional bank presidents, staff officers, bond desk managers and Fed employees who regularly attend board meetings. In addition, their spouses and minor children will not be able to trade stocks, bonds and cryptocurrencies.
The following phrases were used in the article explaining the new rules:
“The Fed anticipates that the rules will apply to more staff once the extensive review and analysis of the matter is complete.”
The statement further stated that the purpose of the new rules is to support public confidence in the impartiality and integrity of the Committee by removing even the slightest suspicion of a conflict of interest.
In the statement made today, unlike the statement in October, it is among the prohibited assets. bitcoin Cryptocurrencies such as
Fed Employees to Sell Their Positions in 12 Months
According to the regulations, Fed employees who already hold cryptocurrencies and stocks will have 12 months to dispose of them.
In addition, in the future, on assets that are allowed to be traded, authorities will have to give 45 days notice of their move before making any purchases. Officials will not be able to sell their new positions for at least a year, and trading will not be possible during times of increased stress in the financial market.
The ban covers the use of margin debt to buy stocks, bonds and cryptocurrencies, as well as commodities, foreign currencies, industry index funds, derivatives, short positions or assets.
In addition, the US Congress is also discussing the prohibition of individual members of Congress from purchasing stocks, but no decision has been taken in this direction yet.