Joe Biden: “We will fight against the illicit use of cryptocurrencies”
Joe Biden: “We will fight against the illicit use of cryptocurrencies”
Regulation

Joe Biden: “We will fight against the illicit use of cryptocurrencies”

By Eleonora Spagnolo - 4 Oct 2021

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The United States will lead 30 nations in the fight against the illegal use of cryptocurrencies, says President Joe Biden.

The fight against cybercrime

During Cybersecurity Awareness Month, the White House said it is fully involved in the fight against cybercrime.

US President Joe Biden said he is committed to strengthening US cybersecurity to combat cyber attacks and ransomware networks. At the same time, the US will work with other nations to establish rules in cyberspace and leave no escape for those responsible for cyber security threats.

Efforts on this path have already begun, and require the cooperation of the public and private sectors.

But more is needed: the cooperation of NATO and G7 partners to fight cybercrime.

Joe Biden stated:

“This month, the United States will bring together 30 countries to accelerate our cooperation in combatting cybercrime, improving law enforcement collaboration, stemming the illicit use of cryptocurrency, and engaging on these issues diplomatically”.

All forces and expertise will be deployed to counter cybercrime. As the US president stated, access must be closed, and this also means strengthening security measures and education, as well as countering the ill-intentioned:

“We must lock our digital doors — by encrypting our data and using multifactor authentication, for example—and we must build technology securely by design, enabling consumers to understand the risks in the technologies they buy. Because people – from those who build technology to those to deploy technology – are at the heart of our success”.

It will be a long road, but the Biden administration is confident it will culminate in a more modern and secure technology network.

Joe Biden cryptocurrencies
US Congress is working on different laws on crypto and blockchain

The Biden administration’s stance on cryptocurrencies

President Biden’s latest statements have confirmed US concerns about cryptocurrencies. As Treasury Secretary Janet Yellen had already stated, cryptocurrencies are often used for illicit purposes, and these must be countered.

It is no coincidence that the US is working on regulatory projects on several fronts. There is not only the Infrastructure Bill, which aims to exploit cryptocurrencies as a tax lever. Congress is working on at least 18 bills aimed at defining the sector and exploiting blockchain technology.

The players in the field do not intend to be spectators. Coinbase, the largest US-based crypto exchange, is also working to provide authorities with a framework that can take into account the nation’s needs, particularly on the tax and cybersecurity fronts, but also the demands of the industry.

Coinbase and other crypto businesses fear that too much regulation will stifle innovation. This would mean leaving room for other nations that could rightly aspire to leadership.

Texas as new crypto hub

The fears of Joe Biden and Janet Yellen are matched by the enthusiasm of the local ruling class. Wyoming, with Senator Cynthia Lummis, has already earned the nickname of crypto-friendly state because of its regulation in favour of crypto businesses. It is no coincidence that it is the chosen home of the Kraken exchange.

Then there is Miami, where Mayor Francis Suarez aims to encourage the use of Bitcoin.

And there is Texas, which next week will host the first Texas Blockchain Summit. Governor Greg Abbott has already met at least twice with Texas Blockchain Council president Lee Bratcher.

In recent months, Greg Abbott has also signed a bill that aims to develop a master plan for blockchain activities. The governor declared in this regard:

“Blockchain is a booming industry that Texas needs to be involved in. I just signed a law for Texas to create a master plan for expanding the blockchain industry in Texas”.

The fact that the Texas governor is a fan of crypto is also evident from the enthusiasm in his tweet commenting on H-E-B’s decision to install crypto ATMs in at least a dozen of its stores in Texas:

https://twitter.com/GregAbbott_TX/status/1406104291950071808?s=20

Finally, Texas is becoming a new mining hub. Chinese laws have caused miners to flee. This is benefiting other industries that are positioning themselves here to mine Bitcoin.

Texas has a lot of clean energy available: hydroelectric and solar power. This will make Bitcoin mining more sustainable, making Texas the heart of a multi-million dollar industry. An opportunity that Governor Abbott probably doesn’t intend to pass up.

 

Eleonora Spagnolo

Journalist passionate about the web and the digital world. She graduated with honours in Multimedia Publishing at the University La Sapienza in Rome and completed a master's degree in Web and Social Media Marketing.

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