Cryptocurrencies are not yet legally recognized worldwide, but large investments are being made in these virtual currencies. This poses a threat to established economies. The United States is preparing to deal with the possibility of cryptocurrency being used by Russia for trade.
In the United States, steps are being taken to legalize cryptocurrency. A preliminary bill allowing cryptocurrency is expected to be signed by President Joe Biden this week. This will pave the way for the legalization of investments in cryptocurrencies in the United States.
The ongoing Ukraine-Russia war has led Western nations to impose sanctions on Russia. After that, the Russian currency, the ruble, fell sharply against the dollar. Cryptocurrency is likely to be used by Russian President Vladimir Putin to bolster sanctions and the dollar. The United States has also taken steps to address the potential situation. The United States is preparing to legalize cryptocurrency. Sources said the proposal could be approved this week.
In deciding the policy of cryptocurrency in the United States, the government, the Treasury Department will have to prepare regulations. An executive ordinance containing guidelines is expected to be approved by President Joe Biden.
Meanwhile, it will also pave the way for the US Federal Reserve to launch its own digital currency. In January, the Federal Reserve released a report on the advantages and disadvantages of cryptocurrency. Legal recognition is likely to further boost the US cryptocurrency market.