On March 9, President Biden signed an executive
order, Ensuring Responsible Development of Digital
Assets, mobilizing the federal government to examine the risks
and benefits of cryptocurrencies in a step toward regulating the
industry. The order instructs federal agencies to work in tandem to
address a myriad of issues such as the impact of cryptocurrencies
on consumer protection, illicit finance, national security, and the
U.S. economy while ensuring financial stability, innovation, and
global competitiveness.
The executive order directs the Federal Reserve to research and
explore the possibility of developing its own digital currency and
an assessment of whether legislative action from Congress would be
necessary for implementation. The order tasks the U.S. Treasury
Department with developing guidelines for Americans to avoid fraud
and volatility in the market. On March 8, in preparation of the
executive order, the U.S. Treasury Department launched a
