Novogratz Gives Hint On What To Expect From Biden’s Administration
The world’s economy was greatly affected by the adverse effects of the covid-19 pandemic, which forced every country into Lockdown for more than three months. The governments were equally compelled to make new economic rules and regulations as part of their desire to save their country’s economy.
In the United States, outgoing President Donald Trump adopted a crackdown policy, which many feared would have tremendous negative impacts on the crypto world. Another rule proposed by the Trump administration— via the Financial Crimes Enforcement Network (FinCEN) — was disclosure rules for private wallets and financial institutions to end cryptocurrency-related money laundering online financial offenses.
Government crackdown rule means bad news for investors
Experts believe the new development would largely affect the dollar’s value and other domestic innovations. They equally predicted a very low turn up in the rate of transaction made with the digital asset. This is because the new rules could lead to low money circulation in the country all through the year.
It is also said that the new regulations would possibly force independent crypto owners into disclosing their real identity in any transaction worth more than $3,000. Simultaneously, Platforms have no other choice but to report transactions ranging from $10,000 and beyond.
Bitcoin showed great resilient despite Trump’s threatening policies
However, despite the massive economic crises and the new sets of government laws, Bitcoin maintains its status as one of the most dependable digital currencies to trade with throughout the year. Contrary to what was first predicted by many cryptocurrency analysts and experts in the industry, the digital asset sets a new record on the 27th of December 2020 when it reaches an all-time high of $28,000.
Speaking to CNBC earlier in December, the CEO of Galaxy Digital CEO Michael Novogratz, gladly disclosed how Bitcoin overcame the new policy unscathed. Amid Trump’s unfavorable actions towards new crypto regulations, the experienced Galaxy Digital CEO predicts a brighter future for Bitcoin and other digital currencies. According to him, the recent record smashed by Bitcoin is a sign of better things to come, especially now that America is set to welcome a new administration.
Experts and investors for hoping for friendly policy under Joe Biden
Twenty days from now, the United States will welcome a new president into power, and Bitcoin investors hope for a new and favorable set of rules and regulations. According to Novogratz, a regular donator to the democratic politicians, the cryptocurrency world expects to have “open-minded regulators” who will improve the industry’s fame across the country and the world at large.
He expects Biden and his administration to be a friend of the industry by making rules that will benefit the industry and the country’s citizens. As it stands, Trump’s proposed ‘disclosure rule’ hasn’t been approved yet because cryptocurrency investors are given15-day ultimatum to reveal their final decisions regarding the proposed rule.
However, two cryptocurrency powerhouses — Novogratz and Coinbase — demanded for more days. We will surely keep you posted as events unfold regarding the proposed rules and Novogratz’s decision.