Biden's crypto order spurs jump in bitcoin price
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The price of bitcoin jumped after President Biden signed an executive order Tuesday to review U.S. oversight of cryptocurrencies, a sign of regulation to come.
According to cryptocurrency news site CoinDesk, Bitcoin's price rose almost 9 percent, reaching $41,944 as of Wednesday evening.
Biden ordered officials a number of government agencies to study how the government should monitor and regulate the booming industry.
The order asked the Treasury Department and regulators to compile a report on the potential risks and rewards of the digital currency and asked the Financial Stability Oversight Council to study if cryptocurrencies will pose a risk to the financial system that could trigger a financial crisis.
Lee Reiners, executive director of Duke University School of Law's Global Financial Markets Center, told The Wall Street Journal that Biden's executive order eased concerns that his administration was set to crack down on crypto.
"This is as close to an embrace of crypto as you could have hoped for from this Biden administration, if you're pro-crypto," he said.
Cryptocurrency advocates have welcomed Biden's initiative.
"This is a hopeful moment," Faryar Shirzad, Coinbase's global chief policy officer, wrote in a tweet. "We look forward to continuing our work with regulators and lawmakers to ensure the path forward encourages public participation, protects U.S. leadership, and takes a holistic view of this transformational moment."
