« In the last two weeks, significant developments in blockchain technology and cryptocurrency acceptance have occurred in the United States, which is encouraging for an industry that is still in its early stages of development and adoption. » In the context of the publishing of a decret ordering an investigation into this cutting-edge technology, Joe Biden defined blockchain in these terms.
Biden and blockchain technology are a match made in heaven.
On March 9th, the president of the United States issued a lengthy executive order instructing a dozen people to think about the economic implications of blockchain technology. Members of the President's cabinet, as well as state and federal agents, make up this small group.
This conduct by the president has surprised many in the American executive branch, including Al Gore, Bill Clinton's former vice president. Joe Biden, in fact, has skipped steps in his campaign, preferring to issue a decree rather than wait for legislative approval. This act will very certainly earn him the distinction of becoming the first American president to make significant technological advancements.
The deed in question can be divided into several categories. Among these is the requirement for collaboration between various government ministries and agencies, a strategy that favors the creation of reports in a short period of time. Biden also stated that the report must include studies on specific topics conducted by all parties involved.
« Within 180 days of the date of this order, the Secretary of the Treasury, in consultation with the Secretary of State, the Attorney General, the Secretary of Commerce, the Secretary of Homeland Security, the Director of the Office of Management and Budget, the Director of National Intelligence, and the heads of other concerned agencies, shall submit to the President a report on the future of currency and payment systems, including the conditions that favor them.
For the FED, a CBDC
President Biden acknowledged his concern about China's attempt to disrupt the dollar's hegemony through the use of a digital yuan. As a result, he directs his lieutenants to look into ways in which "foreign CBDCs might replace existing currencies and change the payment system in a way that could jeopardize the financial centrality of the United States [which we are concerned about]."
Is there a probability that China may see this happen one day? The President of the United States (POTUS) has given a negative response. As a result, he has no reservations about urging Jay Powel, the president of the Federal Reserve Board of Governors, to pursue his CBDC research. Aside from submitting a report, he is also required to develop "a strategic plan [...] that evaluates the steps and requirements necessary for the implementation and potential launch of a CBDC in the United States [which we are responsible for]."
Following a meeting with the Attorney General and the Treasury Secretary, Powell was forced to recommend "an assessment of the need to make legislative changes prior to the issuance of an American CBDC." The completion of this assignment has been given to him with a 180-day deadline.
In short, Biden is fully invested in blockchain technology and hopes to establish an American CBDC in the shortest possible time.
What role do agencies play in the adoption of blockchain technology?
By collaborating with particular agencies, they will be able to research and report on relevant topics surrounding blockchain technology, based on their expertise.
It is required to prepare a report on the roles of law enforcement agencies in the detection, investigation, and prosecution of criminal activities involving digital assets.
His responsibilities include examining the effects of the growth of digital assets on competition policy, personal privacy interests, and consumer protection measures.
These two organizations are in charge of examining investor protection measures thanks to a close working relationship with the Federal Reserve, the currency regulator, and the Federal Deposit Insurance Corporation. They will also focus on the markets based on their various jurisdictions. This is in order to assess the risks associated with digital assets and to take "additional measures" if necessary.
This council must also provide a report within 210 days "decribing the specific risks of financial stability and regulatory gaps posed by various forms of digital assets and providing recommendations for addressing these risks." It's worth noting that it's made up of several agencies, including the Securities and Exchange Commission, the Consumer Financial Protection Bureau, the Federal Trade Commission, and federal banking agencies.
In the final section of the decree, the president lays forth the fundamental principles and policies that will guide the government's future activities. They come to the following conclusion:
« Energy-efficient measures to reduce the risks that digital assets may pose to consumers, investors, and business protections; financial stability and system integrity; combating and preventing crime and illicit financing; national security; human rights capacity; financial inclusion and equity; and climate change and pollution
In general, this decree reveals the American government's current preoccupation. Several details show a thoughtful, systematic, and comprehensive approach to blockchain technology, cryptographic assets, and digital currencies. In the next 12 to 18 months, we may expect a slew of new rules and regulations from the US administration as a whole.
Source : Cointelegraph
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