Latest News by Industry
• Treasury statement has been removed from the website shortly after being published
• ‘Executive order calls for a coordinated and comprehensive approach to digital asset policy’ - Yellen
Bitcoin and other digital currencies jumped after what appeared to be a premature release of the U.S. Treasury statement mentioning an executive order from President Joe Biden taking a supportive stance toward digital assets.
Bitcoin was trading at $42,407.14, nearly 9% higher as of 7 a.m. ET and Ether gained almost 7% to $2,773.16.
The other cryptocurrencies have also soared after the release of the statement.
Upcoming executive order
The rally in prices of cryptocurrencies began just after 6 p.m. ET Tuesday after the Treasury on its website published details of an upcoming executive order from President Biden on cryptocurrencies.
The statement from Treasury Secretary Janet Yellen was pulled down from the website shortly after.
The now-removed Yellen’s statement said President’s executive order “calls for a coordinated and comprehensive approach to digital asset policy.”
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It also said Treasury will partner with other government agencies to produce a report on the future of money and payment systems. “We’ll also convene the Financial Stability Oversight Council to evaluate the potential financial stability risks of digital assets and assess whether appropriate safeguards are in place.”
The department will also work with international partners to promote robust standards and a level playing field.
Creating a stance
Although traders are still waiting for the official announcement for the executive order, the brief statement was enough to catalyst a bull-run for the industry.
The U.S. Securities and Exchange Commission (SEC) Chair Gensler has been long vocal about regulating cryptocurrencies. Last August, he said the crypto market wouldn’t mature without regulatory oversight.
While countries like China have banned cryptocurrency, others like El Salvador have introduced Bitcoin as an official tender.
However, the U.S. does not have a regulatory framework yet, sparking fears among the industry experts that it could be left behind.
Picture Credit: CNBC