According to reports, the U.S government is considering a regulatory crypto crackdown as bitcoin and cryptocurrency prices rise across the board.
Last month, the price of bitcoin increased by 20%, resulting in a gain of over $10,000 per bitcoin. Ethereum, cardano, Binance’s BNB, Ripple’s XRP, solana, and dogecoin have all risen in tandem with bitcoin’s price, bringing the total cryptocurrency market cap to over $2.3 trillion.
The Biden administration is considering an executive order that would impose a slew of new laws relating to bitcoin and cryptocurrencies, Bloomberg reported, citing unnamed individuals familiar with the subject.
Bloomberg reports that the executive order would require government agencies to provide recommendations on bitcoin and crypto, including “financial regulation, economic innovation and national security,”
Even if the executive order is not issued, a Biden administration source told the newswire, the broader US policy for cryptocurrency would be made public.
Pressure has mounted on regulators in the United States and around the world in recent months to rein in the raging bitcoin and crypto markets, which have grown by nearly $2 trillion this year alone and been thrust into the national spotlight for their role in the May Colonial Pipeline ransomware attack.
The crypto community rose up against the Treasury’s push for new tax reporting requirements on cryptocurrencies as part of President Joe Biden’s multi-billion dollar infrastructure package over the summer.
According to US Treasury Secretary Janet Yellen, the government should develop a regulatory framework for stablecoins, which are cryptocurrencies tied to existing currencies or real-world assets and function as a significant onramp for crypto investors.