Secretary Biden softened his tone for the US Treasury Department, which a few days ago spoke harshly against bitcoins and cryptocurrencies.
Janet Yellen, in a testimonial following the Senate session on the confirmation of her candidacy as Secretary of the Treasury, put her position on cryptocurrencies and Bitcoin determined. A few days ago, he took a stand against the cryptocurrencies in the Senate session, and his non-expert remarks provoked widespread criticism. “Bitcoin and other cryptocurrencies are used for transactions around the world, which has potential benefits for the United States and its allies,” he said in part. At the same time, it gives state and non-state actors the opportunity to circumvent the current financial system and undermine American interests. “For example, the People’s Bank of China recently issued its first digital currency.”
Asked about the potential threats and benefits of cryptocurrencies to US national security and the legalization of digital currencies, Yellen replied: “I think the benefits of cryptocurrencies and other digital assets, as well as their importance in improving the effectiveness of the financial system, It is important.” “At the same time, we know that they can be used to finance terrorism, facilitate money laundering, and support subversive activities that jeopardize the interests of national security and the integrity of the United States and international financial systems.” “I think we should encourage the legal use of cryptocurrencies while reducing their use in sabotage and illegal activities.”
If elected US Treasury Secretary, Yellen said he would work with federal security and banking regulators to decide how to provide an effective regulatory framework for cryptocurrencies and other Fintech innovations.
Yellen’s new remarks show a clear turn against the cryptocurrencies and contradict what he said a few days ago in the Senate. He said at the meeting that cryptocurrencies were a concern and were often used for illegal financial activities, so they should be limited.