According to a report from Time.com, US President Joe Biden signed an executive order on cryptocurrencies. This move marked the first concrete actions by the White House toward regulating the digital currency.
The executive order lays out what government systems, including the Treasury Department, must undertake to establish cryptocurrency laws and regulations. It also directs US authorities to ensure that the country’s cryptocurrency policies are consistent with those of its allies.
The Financial Stability Oversight Council is tasked with investigating any illegal financial problems. Furthermore, the order gives the potential of a new government-issued central bank digital currency a new sense of urgency.
Brian Deese, National Economic Council Director, and Jake Sullivan, National Security Advisor, said that “Governments alone cannot solve these problems, and definitely not a government that operates in siloes.”
“This E.O. is the product of months of work with stakeholders across government, industry, advocacy, academia, and international allies and partners – to identify actions we can take to foster responsible innovation in the digital asset ecosystem,” they added in the statement.
The new executive order comes as cryptocurrencies have become a key part of Russia’sRussia’s war on Ukraine. People worldwide have been encouraged to contribute to Ukraine’sUkraine’s fight against Russia. Crypto has provided an innovative method for donors.
Over $50 million worth of cryptocurrency came in after the Ukrainian government tweeted a call for donations. Moreover, the Ukrainian government has also stated that it intends to mint NFTs in order to fund its military.
The Ukrainian government said that the conflict had forced 1.2 million Ukrainians to evacuate their homes since February 24. In addition, the war’s number of casualties is already high. There were over 2,000 Ukrainian citizens who had been killed.
The growing popularity of cryptocurrency and its recent integration with the stock market has made it even more intertwined with the worldwide crisis.
After plummeting below $35,000 in the aftermath of the attack, Bitcoin hangs around $40,000. On the other hand, Ethereum is back at around $3,000. Following the announcement of the executive order, Bitcoin and Ethereum recorded initial price increases, but both dropped back afterward.
The market has become even more volatile as a result of the crisis. Crypto analysts expect that the highs and lows will continue. Experts suggest avoiding financial decisions based on news-related panic in any case.