In a recent statement, US Treasury Secretary Janet Yellen sets out how her agency will carry out the conditions of Joe Biden’s White House’s long-awaited executive order.
The statement, which was released late Tuesday and then taken off from the department’s website, reads in part: “Biden’s historic executive order calls for a coordinated and comprehensive approach to digital asset policy.”
“This approach will support responsible innovation that could result in substantial benefits for the nation, consumers, and businesses,” Yellen continued. “It will also address risks related to illicit finance, protecting consumers and investors, and preventing threats to the financial system and broader economy.”
The Treasury Department will “work with interagency colleagues to create a study on the future of money and payment systems,” according to Yellen’s statement. Given the global nature of the industry, Treasury will also “convene the Financial Stability Oversight Council to evaluate the potential financial stability risks of digital assets and assess whether appropriate safeguards are in place,” as well as “work with our international partners to promote robust standards and a level playing field.”
“This work will complement ongoing efforts by the Treasury,” Yellen continued.
According to recent sources, the Biden EO will include a number of components, all of which will focus on exploring bitcoin and digital money across numerous US government departments and agencies. The influence of cryptocurrencies on the environment and central bank digital currency are two specific topics.
“As we take on this important work, we’ll be guided by consumer and investor protection groups, market participants, and other leading experts,” Yellen’s statement concluded. “The Treasury will work to promote a fairer, more inclusive, and more efficient financial system, while building on our ongoing work to counter illicit finance, and prevent risks to financial stability and national security.”