President Joe Biden signed an executive order Wednesday mobilizing the federal government to create a strategy for digital assets such as cryptocurrency that promotes innovation in the industry while minimizing risks to Americans and the global financial system.
The order directs the Federal Reserve to research and potentially develop its own digital dollar, which would be similar to cryptocurrencies that have become a financial asset for some Americans.
The Treasury Department was ordered to develop guidelines for Americans trading and using cryptocurrency to help them avoid fraud or market volatility. The Treasury will do further research on the potential role of digital assets and blockchain in payment systems.
