Government officials could not work on crypto laws if they possess digital currencies. Those who hold up to at least $50,000 in mutual funds that include companies linked to the crypto space can still work on policies.
The North American government has banned employees working on regulations and policies affecting digital assets from owning cryptocurrencies.
The government’s Office of Government Ethics placed new policies highlighting a conflict of interest between the parts involved. The regulation reaches many factors essentially linked to the crypto market, including stablecoins.
An employee with any digital asset or stablecoin under control may not take a vital part in a particular law if the employees in question are aware of the law and its possible impact on the value of their digital assets or stablecoins.
The policy also explains that the de minimis exemption is universally irrelevant to digital assets and stablecoins.
The New Policy Also Applies to all Agencies Linked to the North American Administration
On the other hand, employees linked to the administration will have the possibility to work on linked laws if they dispossess their holdings in digital currencies. The policy would also be effective for all federal government entities, including the United States Treasury, the Federal Reserve, and the White House.
A remarkable exception to this new policy also arrives: Employees working for the administration can house at least $50,000 in mutual funds in entities closely linked to the crypto space.
The United States has boosted the regulation of the market in the past months. Many improvements have taken effect in the last six months, as administrations intend to create a shield to cover investors and prevent criminal behavior and activities that could harm them and take them away from the market.
Regulation is always aiming at Stablecoins, with the recent TerraUSD (UST) drop fresh in lawmakers’ minds. The Federal Reserve thinks about creating a CBDC living in parallel with stablecoins. However, many experts said at a recent conference that the range for cross-border applications had too many limitations. On the other hand, The United States Securities and Exchange Commission (SEC) is currently leading a series of studies into cryptocurrencies.
By: Jenson Nuñez
