The White House Just Released a Framework for Regulating Digital Assets

The White House Just Released a Framework for Regulating Digital Assets

Early in September 2022, the White House posted a record calling for more excellent sustainable practices throughout the blockchain industry.

Now, the White House has supplied answers withinside the shape of a complete framework targeted around the “accountable improvement of virtual assets.” This framework outlines the actionable subsequent steps to be taken, which encompass matters like:

Regulators are scaling up investigations into virtual asset marketplace misconduct, redoubling their enforcement efforts on the subject of current guidelines and regulations, and strengthening interagency coordination.

The Financial Literacy Education Commission is leading public awareness efforts to help consumers understand the risks associated with digital assets. The Department of Energy, the Environmental Protection Agency, and other agencies track the environmental impact of “digital assets,” developing performance standards where appropriate and providing local authorities with the tools, resources, and expertise to mitigate environmental damage.

Why it matters

When the White House issued an executive order in March urging all crypto-dependent industries to move toward a more sustainable existence, many were concerned about outright bans. However, with the release of the framework today, it’s clear that the administration is more interested in sustainable growth than in banning specific tools or technologies.

What’s next

In addition to the actionable next steps already mentioned, several government agencies are tasked with conducting further investigations to mitigate the environmental, economic, and cybersecurity risks associated with blockchain technology and related digital asset industries. Specifically, the Office of Science and Technology Policy and the National Science Foundation will develop a “Digital Asset Research and Development Agenda” to advance research on topics affecting next-generation cryptography, transactional programming, cybersecurity, privacy, and mitigation opportunities for the environment, including the impacts of digital assets. That being said, part of the framework calls for all branches of government to work together to ensure the digital asset industry is managed correctly.

Share to Social Media

Recent Articles

Join Our Newsletter