Crypto Owning U.S Officials Barred From Regulation Establishment Process

  • The United States is moving forward with integrating the cryptocurrency economy.
  • Government officials can buy cryptocurrencies, but doing so will prohibit them.

According to a new guideline from the State Office of Government Ethics (OGE), government officials who are actively investing in cryptocurrencies or who are found to hold any digital assets would be forbidden from participating in the establishment of regulations and policies affecting cryptocurrencies.

The direction stated:

“As a result, an employee who holds any amount of a cryptocurrency or stablecoin may not participate in a particular matter if the employee knows that particular matter could have a direct and predictable effect on the value of their cryptocurrency or stablecoins.”

Avoiding Conflict of Interest

Additional emphasis was placed on whether or not a cryptocurrency or stablecoin could ever be considered secure for federal or state regulatory obligations.

It is still allowed for government officials to buy cryptocurrencies, but doing so will prohibit them from being able to influence the development of crypto legislation. Federal staff with less than $50,000 invested in a mutual fund with crypto exposure will still be permitted to work on crypto-related policies.

With Vice President Joe Biden presenting an all-government strategy to regulation addressing the virtual currency industry, the United States is moving forward with integrating the cryptocurrency economy. This is even though the regulations around employee investments in the crypto business seem to be somewhat restrictive.

One of the few Western countries to fully regulate and accept stablecoins and other digital assets as real financial instruments is the United States, according to Raymond Shu, the co-founder, and CEO of Cabital. Although, pessimism has halted in the cryptocurrency market, which negatively impacts crypto firms.

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An engineering graduate who is passionate about writing and loves the very existence of crypto. Trading forex currency keeps me busy when I am not writing and analysing the crypto world.