“Since I’m not a big fan of Bitcoin and cryptos, because of its high volatility, its fictitious behaviour might trigger the risk of increasing drug trade in the US.
-Former President of US Donald Trump
The viewpoint of US government under Mr. Joe Biden was not the same. Rather, Biden’s administration seemed much optimistic about the financial future of US with Bitcoins. In US, more than 30-40% of the online transactions are based on digital currencies like Bitcoin. The giant e-retailers have already started accepting bitcoin society for making online bank transfers. That’s not all, a lot of challenger banks like Revolut and Square are also looking ahead to put their first step in the US for encouraging the usage of digital currencies or token money instead of traditional currencies.
However, bitcoin users have certain expectations from Biden’s presidency, let’s have a glance through some of those,
Regulating the volatile digital currencies
Regulating the crypto currency market is quite important. However, that’s a challenge for Biden’s government. Lack of knowledge about crypto currency is one of the key subjects that has to be breached still. Though some of the US based banks have recently started accepting bitcoins, but a significant number of banks are still doubtful about accepting the cryptos.
Encouraging maximum people, a safe crypto trade
Though Blockchain technology is the only network for dealing with crypto currencies, yet there are sufficient loopholes in it. People often get duped and sometimes get victimized to ‘false trade’. The crypto hot wallets are becoming much vulnerable every day. It has been also reported that the cold wallets are also not free from the hackers. As soon as the cold wallets are connected with the web servers there are chances for the wallets to be hacked. That’s a serious threat that the government’s financial security services need to look after.
Encouraging a market that compliments crypto trade
It’s important to develop the interest of buyers and sellers to accept a market that runs on digital currencies. Though a lot of online trade and commerce are dependent on digital currencies, but the number of buyers and sellers are still less in comparison to a market that attracts traditional currency-based transactions. Some of these strategies might be useful:
- Higher ROI in a crypto account on every digital currency-based transaction
- Increase in the percentage of cashbacks on using crypto payment mode
- Luring maximum international banks and financial institutes to charge minimum or no transaction fee for bitcoin processing
- Loosing up the regulatory policies for buying trading assets with crypto and reducing the red tapism on crypto currency exchange markets
That way, it’s easy to encourage a market for running crypto trade. It might spike up the interest of the day traders, swing traders and even the arbitrage crypto traders too. The strategy can open up the business expansion opportunity for many small and medium scale business suffered a huge loss due to global lockdown. It will decrease their dependency on traditional currencies for rolling a capital amount to re-start their business again.
Boosting the Peer-to-Peer exchange system used in crypto currencies
The peer-to-peer crypto exchanging trends is one of the common aspects in crypto world. Maximum BTC users follow this policy to earn a good amount of return while trying to seek the right one in the long run. The new presidency under Mr. Joe Biden might take the initiative to reduce the tax charged on converting the bitcoins into a currency. That will steadily amplify the interest of the BTC users in a crypto trade.
An attempt to make sustainable regulatory changes in digital currencies
One of the positive outcomes of Biden’s presidency is the appointment of Gary Gensler into the financial regulatory body, who had been one of the ex-bankers with Goldman Sach.
Hypothetically speaking, ‘if you’re thinking that the financial regulatory policies are going to skyrocket the involvement of crypto currency in an economy within a day, then you might be too optimistic’! That’s because, it’s too complex to tell what can be the exact future of crypto currency in the US.
That’s why, it’s expected to make a change in regulatory policies related to BTC operations in market that assures sustenance of digital currency-based trade in the far future. That’s because, according to crypto analysts, a sudden change in the crypto regulation policy might put the swing traders and long-term investors at stake. It can even topple the crypto currency trade pattern suddenly, causing an unexpected crash in crypto trade market.
That’s why, the traders are rather asked to keep themselves updated with the changes in Crypto regulations every time before involving 1 satoshi also in a digital currency-based trade.