The U.S Treasury Department has published a fact sheet which lays a framework for international engagement related to crypto. This fact sheet was published on Thursday.
It lays out how U.S plans on working with several foreign regulators to take up matters related to the crypto industry.
This fact sheet is the first report published by the department and it outlines on President, Joe Biden’s executive order.
The framework has been designed in such a way that it respects the democratic values of America. It also aligns with the objective of safeguarding consumer, investors, businesses and maintaining the safety of the global financial system and interoperability.
The publication also mentions that the government has been in the international fora and participated in bilateral partnerships concerning many issues around the industry.
The U.S has been involved with the G7 which is concerned with digital payments and central bank digital currencies (CBDCs). U.S also worked with G20 which was related to cross border payments among other matters.
More About The Cryptocurrency Policy Objectives
The fact sheet states that the framework’s policy objectives are concerned with bringing down the use of crypto scams and other illicit finance.
It speaks of promoting access to financial services and uplifting technology by facilitating advancement and reinforcing leadership in the global financial system.
U.S is working with the Financial Stability Board (FSB), through this partnership U.S has delved deeper into potential financial stability risks that are tied to adopting cryptocurrency.
The fact sheet also reads,
The United States must continue to work with international partners on standards for the development of digital payment architectures and CBDCs (central bank digital currencies) to reduce payment inefficiencies and ensure that any new payment systems are consistent with U.S. values and legal requirements
Additionally, it mentions,
Additionally, the United States will promote the adoption and implementation of international standards through bilateral and regional engagements. Across all engagements the United States will seek to ensure a coordinated message, limit duplication and encourage that work is maintained within its primary stakeholders
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Various Regulators Involved
U.S is also in support of countries that are adopting Financial Action Task Force (FATF) standards for crypto or digital assets. Along with being a part of FATF, U.S also is striving to increase awareness about ransomware and money laundering along with that looking into the CBDC policies.
U.S is also in ties with the Organization for Economic Cooperation and Development (OECD). With OECD, U.S is in discussion regarding the risks, the recommended way and best practices for crypto and also to improve global tax compliance surrounding digital assets.
Analytics and other surveillance work is underway as U.S is working with the International Monetary Fund (IMF). Apart from working with these regulators, U.S also is aiding World Bank and other multilateral development banks to construct digital asset based investments and lending services.