Biden says NO to Bitcoin! No place for crypto in banks!

The regulatory saga around crypto is taking an unexpected new turn. According to a recent statement, US President Joe Biden is reportedly considering vetoing legislation to ease regulations governing the holding of Bitcoin and other cryptocurrencies by financial institutions.

Biden’s veto, a setback for Bitcoin

This turn of events is a cold shower for the crypto sector. Indeed, many players placed their hopes in this future law to encourage greater adoption of Bitcoin within the traditional financial system.

Yet the White House appears to be holding firm. According to the statement, President Biden is strongly opposed to the bill if it is presented to him as is. A potential veto that could significantly complicate efforts to integrate Bitcoin and other cryptocurrencies into established financial practices.

For the Biden administration, this possible rejection aims to preserve the effectiveness of the SEC in its mission of investor protection and market stability. A weighty argument, but one that risks fueling tensions with crypto entrepreneurs and investors frustrated by this unstable regulatory climate.

Ongoing Concerns About Crypto Regulatory Framework

Beyond Joe Biden’s potential veto, the entire regulatory framework surrounding crypto continues to raise significant concerns. Many voices are regularly raised to denounce a lack of clarity and consistency on the part of the authorities.

On the one hand, the SEC and other regulators advocate a strict approach to monitoring industry participants. But at the same time, some lawmakers are trying to relax regulations to encourage innovation. A real standoff which continues to perpetuate an atmosphere of harmful uncertainty.

Worse still, these regulatory hesitations are reviving fears of crypto regulation by knee-jerk reaction in the United States. A prospect that could greatly hinder the adoption of Bitcoin and its peers by a wide range of institutional investors.

The path to peaceful regulation of cryptocurrencies remains strewn with pitfalls in the United States. The veto envisaged by Biden is only the latest twist in a saga that drags on. However, all stakeholders agree on the need to establish a clear and lasting framework for crypto-assets. A major challenge that will require considerable reconciliation efforts between the different stakeholders, particularly those favorable to Bitcoin.

Eddy S.

The world is evolving and adaptation is the best weapon to survive in this undulating universe. Basically a crypto community manager, I am interested in everything directly or indirectly related to blockchain and its derivatives. In order to share my experience and raise awareness of a field that fascinates me, there is nothing better than writing articles that are informative and relaxed at the same time.

DISCLAIMER

The views, thoughts and opinions expressed in this article belong solely to the author and should not be considered investment advice. Do your own research before making any investment decisions.