The US Treasury invites the public to comment on its digital asset policy, which is still in progress. This request is made as the Treasury works to comply with President Biden’s executive orders on cryptocurrencies.
The Treasury invites the public to comment on the benefits and risks of cryptocurrencies.
Although the request for public comments was posted on the Federal Register on July 8th, the Treasury didn’t officially announce it until July 12th. This request is coming as the Treasury consolidates its policy on digital assets.
Nellie Liang stated that digital assets could offer consumers potential benefits such as faster payments and potential risks, including frauds or scams.
Liang, the undersecretary for domestic finances, spearheaded the Treasury proposal on stablecoin regulations. This ultimately determined that Congress should limit stablecoin issuing to insured depository institution, i.e. banks.
In an announcement by the Treasury, it also stated concern that digital assets pose a greater risk for vulnerable populations.
“The increase in digital assets and the differences between communities may also present disparate risk financial to less educated market participants or exacerbate inequalities.” It is crucial to ensure that digital assets don’t pose undue risk to investors, consumers, or businesses. Additionally, protections should be in place as part of the efforts to increase access to affordable and safe financial services for more vulnerable people.”
The Treasury last week sent the White House the framework for international engagement in cryptocurrencies. In March, President Joe Biden issued the executive orders that were at the core of the development.
