Crypto regulation coming to the USA. Is regulation a good or a bad thing?￼
On Wednesday, U.S. President Joe Biden signed an executive order calling on the government to examine the risks and benefits of cryptocurrencies.
The measures focus on six key areas: consumer protection, financial stability, illicit activity, U.S. competitiveness, financial inclusion and responsible innovation. The announcement also declared the Biden administration wants to explore a digital version of the dollar, which shows just how seriously governments are taking the new technology.
What’s at the centre of the executive order?
They argue the most important element is consumer protection. We’ve all seen dodgy crypto scams like the one that inspired Andrew Forrest to sue Facebook over. Regulation will be aimed at protecting consumers from such scams.
While this may sound like a great idea, many people worry that regulation begets more regulation and stunts or stalls the free market. That’s not a new idea, and could certainly turn out to be the case.
However, there’s the counterargument that regulation will inspire more would-be Crypto investors to get involved which will grow the industry. Whatever your view, it appears Crypto is here to stay so it’s best to keep informed! More about the executive order here.