How to interpret the latest digital asset executive order issued by the United States?
Many people in the industry have expressed their views on this.Organizer: Hu Tao, Chain Catcher
On the evening of March 9, U.S. President Biden officially signed an executive order to ensure the responsible development of digital assets, and the order was published on the official White House website full text. It mainly focuses on consumer and investor protection, financial stability, illegal financial activities, the U.S.'s leading position in the global financial system and economic competition, financial inclusion, and responsible innovation.
This executive order is the first in the U.S. specifically addressing the digital asset sector. It directs federal agencies to better communicate their work in the digital asset space and requires various parts to submit relevant work reports by specific deadlines to further define digital asset regulatory policies.
The document does not outline specific positions that the government wishes agencies to take, nor does it announce any new regulations that cryptocurrency companies need to comply with. Its open attitude has been welcomed by many in the crypto industry and has sparked discussions among various industry figures.
Below is a summary of the views of industry leaders compiled by Chain Catcher:
Circle co-founder and CEO Jeremy Allaire: The White House executive order and the U.S. government's digital asset strategy mark a watershed moment for crypto, digital assets, and Web 3, similar to the government's overall awakening to the commercial internet in 1996/1997.
Specifically, the executive order calls for nearly all relevant federal agencies to understand and formulate policy positions to comprehend and address risks, but crucially, to support innovation and U.S. national economic competitiveness.
We are at a turning point in geopolitical and geo-economic systems and history, and the U.S. now has the opportunity to shift towards an open, internet-based economic infrastructure, while other countries focus on closed, tightly controlled alternatives that erode privacy.
a16z partner cdixon: This executive order is an important milestone and is believed to drive innovation in web3—a new internet that will help the U.S. maintain its global leadership, unlock opportunities for millions, and empower people to control their digital lives.
Ava Labs founder and CEO Emin Gun Sirer believes that the order clearly recognizes cryptocurrency as a new asset class, treats it cautiously, and represents a series of steps to identify these assets and their potential impacts in a careful manner, aimed at not spooking the market. The positive conclusion is that policymakers are taking a unified approach to regulate and assess cryptocurrencies and recognize that this new decentralized system will support financial inclusion and competitiveness in the industry.
What we need to focus on in the future is whether these efforts are aimed at maximizing the many benefits of crypto for individuals or whether new regulations will be formulated to protect large existing institutions by stifling technological development.
ShapeShift founder Erik Voorhees: The crypto executive order basically says "we will investigate these things" (as if they haven't for many years), and then lists some clichés about balancing innovation and protecting the financial system. Perfect political communication.
Secretary of State Antony Blinken: The digital asset executive order strengthens our support for responsible financial innovation. If deployed properly, technologies supporting new forms of payments and capital flows in the international financial system can benefit consumers and businesses.
FS Vectors partner and former Coinbase policy head John Collins: The fact that the U.S. government is getting involved is a net positive for the crypto industry. Biden's crypto executive order has the same impact as the "Global Electronic Commerce Framework" issued by the Clinton administration in the 1990s, which propelled the development of the internet. It is clear that the U.S. government has recognized that cryptocurrencies are not going away, and they have indeed emphasized the critical importance of this technology across various applications to benefit the future financial system. They want to ensure that the U.S. continues to lead.
Coinbase Chief Policy Officer Faryar Shirzad: The White House seems to understand and accept the transformative potential of digital asset technology and the importance of maintaining U.S. leadership. First, we are at a turning point. Digital assets are now widely accepted by millions, and government officials are increasingly interested in them. They have become an integral part of the structure of American life. Today, the White House confirmed that they are aware of this too. Second, we appreciate the White House recognizing that this is a decisive moment for U.S. innovation on the world stage. It is, we need to leverage our resources and entrepreneurial spirit to lead. If we do not support Web 3, we are giving up U.S. leadership. Third, as various agencies take the next steps in studying the crypto economy, we hope they do so with an eye toward establishing clear regulations for the industry and the American public. Digital assets have tremendous potential economic and social benefits for a nation that establishes reasonable regulations. U.S. leadership also depends on achieving the right public policy outcomes.
