What’s in the US Treasury report on cryptocurrency sent to Joe Biden?

This Thursday, the institution submitted to the White House a framework aimed at providing the United States with a comprehensive strategy in the cryptocurrency sector.

After Europe, which found a regulatory framework to regulate cryptocurrencies, it is the turn of the United States to accelerate on the subject.

On Thursday, the US Treasury handed US President Joe Biden “a framework” giving the US government the keys to developing a strategy in the field of digital assets. The institution responded to an executive order from Joe Biden dated March 9, 2022 to develop digital assets.

If the report has not been made public, its main points were set out in a press release published on Thursday.

The US Treasury report sought to assess both the risks and opportunities of digital assets. It not only evokes the fashionable sector of cryptocurrencies but also the desire of the Federal Reserve (Fed) to create a digital central bank currency (MDBC) or “digital dollar”. It is also not the only central bank to have looked into the subject, the European Central Bank (ECB) also planning to launch its digital “euro”.

Respect the “democratic values” of the United States

The development of an American strategy in the field of digital assets will have to be done while respecting the “fundamental democratic values” of the United States as recalled by the American Treasury.

“Consumers, investors and businesses are protected, the appropriate connectivity of the global financial system and the interoperability of platforms and architectures are preserved, and the security and soundness of the global financial system and the international monetary system are maintained,” says the treasure.

Coherent regulations between the States

In addition, at a time when Europe has adopted a regulatory framework for cryptocurrencies, the US Treasury believes that cryptocurrencies must be subject to consistent regulation in all countries.

“Inadequate anti-money laundering and anti-terrorist financing regulation, supervision, and enforcement by other countries undermines the United States’ ability to investigate the flow of transactions from ‘illicit digital assets when money is transferred overseas, as is often the case in ransomware payments and other money laundering related to cybercrime’, the institution said.

In this perspective, the Treasury considers that the United States must continue to work with international partners (G7, G20, IMF, etc.) in order to play a crucial role in the development of digital assets.

“This international work should continue to address the range of issues and challenges raised by digital assets, including financial stability, consumer and investor protection, business risks, money laundering, terrorist financing , proliferation financing, sanctions evasion and other illicit activities,” the press release said.

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