Wednesday, November 11, 2020

Cryptographer Appointed Join Biden Team!

 US President-elect Joe Biden has begun his administration, including electing former Commodity Futures Trading Commission (CFTC) chairman Gary Gensler as a financial expert.

Gensler served as chairman of the CFTC during the Barrack Obama administration. This time under the 46th presidential administration, he will lead a team of research agencies for the Federal Reserve and regulators for banking and securities.

According to Gensler, cryptocurrencies including Bitcoin (BTC) need a clear policy to continue to grow and suggest protection to investors from any market manipulation.

In 2018, Gensler also stated that initial coin offerings (ICO) should be viewed as a protection, placing the offer under the jurisdiction of the US Securities and Exchange Commission.

Gensler at the time was also a senior advisor at MIT Media Lab’s Digital Currency Initiative. The firm conducts research on blockchain and digital currencies in hopes of launching technology development and application.

Does this mean the US will experience a phase of transition that focuses on the crypto industry?

Although Biden has so far not issued any statement on cryptocurrencies, investor Mike Novogratz acknowledges the new administration of 2021 will have a positive impact on the industry with the assumption that continued stimulus programs could boost Bitcoin anti-inflation.

At the same time, analysts could not rule out the Biden administration will increase the market as uncertainty settles and expectations of additional stimulus increase. However, the effort was also able to weaken the cryptocurrency as the US dollar strengthened.