Today, the US President Joe Biden signed an executive directive requiring several government agencies to report on both the benefits and the risks of cryptocurrency regulation.
This order could increase the acceptance of digital currencies in the financial regulation system.
The announcement resulted in increased trading on crypto exchanges. Bitcoin rose more than 9 percent to $42,280 following the announcement. Ether, the coin with the second highest valuation, saw its value increase 6 percent to $2,740. Both of these would mark the daily highs in March 2022.
This executive order was also a big benefit to Jefferies, an investment bank. Although the order does not require an assessment of risks and benefits, Jefferies believes that this executive order signals a positive shift in the industry.
They specifically mentioned crypto miners such as Marathon Digital (MARA), and Argo Blockchain (ARBK), as the winners of this presidential declaration.
According to Jonathan Peterson, an analyst with Jefferies, “We believe that the US government is now more formal in recognising and engaging with the digital asset sector will be a positive development for public cryptomining companies.”
As reports have surfaced that Russians are using cryptocurrency to bypass global sanctions, the US government was forced to look more closely at digital currency.
New South Korean President bullish on cryptocurrency
Yoon Suk-Yeol, the conservative candidate, narrowly won an election in South Korea where both candidates were unusually pro-cryptocurrency. In recent years, South Koreans have turned to crypto-currency and stock markets due to stagnant income growth and increasing household debt.
Yoon previously spoke out in favor of extreme deregulation. He said that the rules are too cumbersome and must be changed to allow virtual currency markets to flourish. Yoon has stated that he wants to attract more crypto-unicorns to his country and promised to pursue fraudulent crypto hackers who stole money from innocent Korean retail traders.
South Korea is currently considering multiple bills to regulate crypto. This has caused confusion in the industry. Harold Kim, the former director of Korea Blockchain Association, said last month that’something must happen after the presidential elections’.