According to the proposal presented by Joe Biden, there will be greater controls on the commercialization and use of cryptocurrencies after addressing certain legal frameworks, which is expected to capture more income from the sector. Greater financing is also contemplated for the Justice Department, in order to support lines of work associated with financial cybercrimes.
The president of the United States, Joe Biden, published this Monday the new budget proposal contemplated for the next year 2023, a document of more than 150 pages, where he dedicated a space in which he contemplates modernizing rules applicable to operations with digital assets.
Budget proposal contemplates changes to address the crypto sector
According to information published in the budget proposal submitted by the Biden administration, the reforms could help the state generate an additional $11 billion in revenue by 2032, while expanding the capabilities of the Department of Justice (DoJ) to counteract the threats inherent to this ecosystem, among which ransomware-type attacks and the use of cryptocurrencies for activities such as money laundering stand out.
According to reports published by various media, among the rules considered for dealing with digital assets is the updating / modification of the rules for the markets. Here it is sought that they include cryptocurrencies within their regulations, so this involves demanding reports from certain taxpayers, greater control over accounts with foreign links, that exchanges provide information on suspicious transactions, as well as the fact of including them in provisions applicable to securities trading/lending.
While the state estimates that these changes could generate $11 billion in revenue over the next nine years, shorter-term estimates are more than $4.8 billion in revenue for the first year after the proposed changes are implemented.
Regarding the reinforcement in the area of cybersecurity, the Biden administration is contemplating further expanding the budget of the US Department of Justice, with which it seeks to allocate an additional USD $52 million to the capital originally contemplated.
When explored in detail, this additional USD $52 million would be used to hire a greater number of agents, improve the response capacity of the DoJ, as well as to strengthen its intelligence, investigation and analysis procedures.
Regarding the latter, the document reads:
“These investments are in line with the agency’s strategy against ransomware-type attacks… The administration emphasizes disruptive activity and combating the misuse of cryptocurrencies.”
Aligned with regulatory efforts
The considerations set forth in the budget document come into place shortly after President Biden signed an executive order, requesting all state organizations to join efforts to evaluate and analyze the ecosystem of digital currencies, emphasizing mainly the protection of digital currencies. people who operate with said assets.
The need for the executive order came about due to the regulatory disagreements between various entities, especially highlighting the aspirations of the Securities and Exchange Commission (SEC) against the criteria of Commodity and Futures Trading Commission (CFTC).
Since last year, the Biden administration has been very attentive to the incidence of digital currencies in local territory, paying special attention to crimes and irregularities perpetrated by hackers and cybercriminals through this type of asset. The ransomware attack perpetrated against entities such as Colonial Pipelineswhich generated strong inconveniences in the supply of fuel in several regions of the North American nation.
Angel Di Matteo version / DailyBitcoin
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