Biden to sign executive order on Cryptos

President Biden is ready to sign off his orders on the use of Cryptocurrency in the United States economy. Here is what you need to know:

As the world is focussing on the economic condition of Russia - the United States legislation has to look one step forward and focus on the economic condition of the world. The focus is diverting to the most recent revolution: cryptos.

If you do not know much about cryptos or wish to know more, here is a post I wrote decoding cryptos.

Biden is set to sign off an order to take a step further into regulating digital currency. Due to be signed this week, the order would focus on using cryptos in an economically sustainable fashion. When the word "sustainable" is used, it encompasses not just economic freedom and maximised utility, it focuses on the socio-politic aspects as well.

The order has been in the works for a long period of time. However, due to recent concerns regarding Russian use of Cryptocurrency to evade sanctions, the focus of US's legislation falls on these digital currencies. The Russian ruble is historically low in value and the Russian stock market has been halted from all transactions. The stock market has been particularly stopped due to excessive "short" or "bearish" bets being made, which can damage the Russian economy for ages.

Considering the economic chokehold Russia feels - Crypto usage to evade the larger effects of the sanctions does not seem like a long shot. More economic sanctions have been slowly worsening the Russian economy: restriction from SWIFT transactions, no access to US Dollar, and no international ally support. (These economic sanctions are briefly explained in this post)

Nonetheless, just like the Russia-Ukraine crisis, there would be multiple wars going across the globe. Hence, due to its superior status in the global economy, the United States legislation needs to formulate an order that fits all international conditions as well. Henceforth the Financial Stability Oversight Council - the council overlooking the health of the United States economic system - would also have to focus heavily on the global impact of the US legislation.

The regulations may have additions of a crypto central bank, levels of transactions/anonymity, and taxation methodologies. There are many other aspects which could be dealt with in this legislation - henceforth - this signing would impact the global economy at a long run scale.

Therefore, time will tell how the order impacts us - nonetheless - the world will have to adapt its ways around the decision soon to come. I will try my best to keep you posted on this upcoming order.