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The White House is planning to regulate the Bitcoin and stablecoin industry and is planning to create a Central Bank Digital Currency (CBDC).
The White House just made a final report from the FSOC, the Financial Stability Oversight Board, just as the high-level panel of all regulators looks at what all other regulators like the SEC do.
The bottom line is that the White House is likely to push for regulation of exchanges and focus on the subsidiaries and affiliates of exchanges that regulators consider. For example, when they consider the bank’s parent company or Bank of America, they consider how all other branches and subsidiaries are operating. And the White House is heavily focused on CBDC research and development.
The Federal Reserve, the White House, and the U.S. Treasury department formed a CBDC working group. So they are pushing all factors for research and development if the U.S. should introduce a CBDC. One thing that hasn’t been made public is that the Justice Department has also made an executive order report on digital assets, which is a piece of legislation the U.S. needs to put in place for the Federal Reserve to authorize CBDCs.
Treasury Secretary Janet Yellen and Jerome Powell among others at the Fed believe that if the U.S. can introduce a central bank digital currency and not just maintain the strength of the dollar.
China is doing this, but at the same time, they believe that this will fundamentally make the cryptocurrency/Bitcoin stable. People won’t care much about Bitcoin. They are really trying to pursue the stablecoin market. To be honest, Bitcoin really isn’t on the list; they are more worried about global stablecoins like Circle’s USDC.
But there’s still a fundamental belief as to why they’re pushing all the factors to see if the U.S. can introduce CBDCs because they see it as a problem — the solving factor for all the problems that come from things like Bitcoin and other coins.
See also: European Union bans Russian cryptocurrency payments
