An executive order focused on the digital asset industry is expected to be signed by President Biden this week, according to reports.
The order will direct various government agencies to study cryptocurrencies, central bank digital currencies (CBDCs), and come up with a government-wide plan on regulating digital assets.
Sources familiar with the matter told Yahoo News that the directive will request a study of CBDCs involving multiple agencies, including the Department of Treasury, State Department, Department of Justice, and Homeland Security. Together, the government bodies will report on the future of money and payment systems while the Director of the Office of Science and Tech policy will perform a technical evaluation of what could be necessary to support a CBDC system.
According to Bloomberg, the rollout of President Biden’s expected executive order was slowed down by a rift between the White House and the Treasury. Bloomberg’s sources said that Treasury Secretary Janet Yellen felt that an executive order was unnecessary, particularly one that mentioned a CBDC.
The Treasury chief reportedly also said that since the Federal Reserve is still researching CBDCs, more time should be allowed to let the agency develop its stance. Yellen’s team reportedly told the White House that the Treasury, along with the U.S. Securities and Exchange Commission (SEC), had made progress on creating more clarity on US regulation regarding digital currencies.
Rumors of the conflict between the White House and Treasury were discounted by spokesman John Rizzo who said the account “is inaccurate,” but didn’t clarify Yellen’s role in the executive order.
“Treasury continues to work closely with our partners throughout the administration and in the White House,” he said.
News of the expected executive order come following a series of new moves by the Biden administration to address the rise of digital currencies.
Last week, Feds launched a new digital currency enforcement unit. The US Justice Department named Eun Young Choi to serve as the first Director of the National Cryptocurrency Enforcement Team (NCET).
The NET aims to put a focus on looking into cases of criminal use of digital assets involving virtual currency exchanges, mixing and tumbling services, infrastructure providers, and “other entities that are enabling the misuse of cryptocurrency and related technologies to commit or facilitate criminal activity.”
“The NCET will set strategic priorities regarding digital asset technologies, identify areas for increased investigative and prosecutorial focus, and lead the department’s efforts to coordinate with domestic and international law enforcement partners, regulatory agencies and private industry to combat the criminal use of digital assets.”