US Department of the Treasury, bitcoin and cryptocurrency released a briefing note outlining how it can work with foreign regulators to manage its industry.
US Treasury Department Releases Its First Report on Cryptocurrencies
The memo, the first to be published as a result of U.S. President Joe Biden’s executive order on crypto, states that the framework “aims to ensure that America’s core democratic values are respected”, pointing to the protection of consumers, investors and businesses, the security of the global financial system, and interoperability. was done.
According to the document, key policy objectives of the framework include reducing the potential use of cryptocurrencies for illicit financing, promoting access to financial services, supporting technological progress, and “strengthening US leadership in the global financial system.”
“US Should Continue Working With International Partners on Digital Payment Systems”
“The United States should continue to work with international partners on standards for the development of digital payment systems and CBDCs (central bank digital currencies) to reduce payment inefficiencies and ensure that new payment systems are consistent with US values and regulatory requirements,” the memo said.
The document states that this study should address these concerns:
“Furthermore, the United States will promote the adoption and application of international standards through bilateral and regional negotiations. In all conversations, the United States will seek to provide a coordinated message, limit duplication and encourage continuation of work among its primary stakeholders.”
The memo noted that the U.S. should hold “talks” and other types of forums to support this work, the Treasury Department said.
The Justice Department published its response to Biden’s administrative order regarding digital assets last month.
The following decisions were taken by Biden under his presidential order:
- Maintain Global Financial Stability and Mitigate Systemic Risk.
- Mitigate Illegal Finance and National Security Risks from Illegal Use of Digital Assets
- Promote US Leadership in Technology and Economic Competitiveness to Strengthen US Leadership in the Global Financial System.
- Promote Equal Access to Safe and Affordable Financial Services.
- Promote Technological Advances and Ensure Responsible Development and Use of Digital Assets and mitigate adverse climate impacts.
- Explore the US Federal Reserve Digital Currency (CBDC)
However, especially Terra (Luna) After the crash, calls for regulation for cryptocurrencies globally gained momentum. However, work continues on mechanisms to oversee private stablecoins in Europe and the US.
*Not investment advice.