Perfect Regulation
Every day, it feels like somebody is trying to regulate cryptocurrencies. Being the biggest disruption to the finance industry in the past decade will get you attention, but governments want to put a lid on it. With how many young people support it, there will be some backlash, but Bitcoin is like a child that has some flaws. The government, being the parent, is trying to fix those flaws, though some may be arguing whether they are being too strict or not strict enough. One of these flaws is criminal use, and the US has announced their plans to combat this.
The Treasury Department announced a list of actions to make it harder for hackers to use cryptos for profit, like what happened with the Colonial Pipeline. One of these actions is sanctions, which will be placed on specific targets instead of unconfirmed groups, but it’s mainly policy. New anti-money laundering and terror-finance rules are set for the later end of the year, with the goal of increasing transparency to deter illegal transactions. The US is also looking for foreign policy to take place, putting blame on Russia for allowing hackers to operate from their country while avoiding prevention laws. With digital crime being a major threat to countries in the coming years, and the major effects it can have, these regulations are sensible, but crypto prices might be a bit volatile in the coming days. What do you think about this legislation?
I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.
