According to emerging reports, the US has been pushing for stricter regulations on the cryptocurrency industry by engaging with UK and Canadian officials. Gary Gensler, the Securities and Exchange Commission Chairman, leads the efforts. These developments suggest a potential shift towards tighter controls on the crypto market, with the US leading the way in advocating for stricter measures.
Balaji’s warning on digital devaluation
Balaji Srinivasan, a renowned technology expert and former CTO of Coinbase, has stated that the recent move to restrict cryptocurrency transactions is an effort to “thwart escape routes ahead of the inevitable depreciation of the US dollar in the digital era.”
They are trying to block the exits before the digital devaluation of the dollar. https://t.co/kjsuq6Zlr1
— Balaji (@balajis) March 25, 2023
Eleanor Terrett, a journalist for Fox Business, recently reported that the US is leading the charge in convincing other nations to take action against the use of cryptocurrencies. Terrett highlighted the UK’s Financial Conduct Authority (FCA) as an example, citing sources claiming the regulatory body is planning to unveil new measures that will further restrict the crypto industry soon.
Despite Fox Business journalist’s claims, the information regarding the UK’s Financial Conduct Authority’s (FCA) stance on cryptocurrency has been challenged by an individual known as crypto_caesar1 on Twitter. According to the crypto lawyer, the FCA has supported crypto, and the UK has been a front-runner in creating laws and regulations for the industry, not relying on the US for guidance. Therefore, the journalist’s sources may only partially be accurate.
Restrictions loom for Canada’s crypto market
Recent reports indicate that the Canadian government has started taking measures to tighten its grip on the cryptocurrency industry. As part of these measures, restrictions have been placed on the number of crypto assets individuals can purchase from exchanges. According to a reply tweet posted in response to Terrett, Canadians can only buy more than $30k worth of specific cryptocurrencies, including Bitcoin and Ethereum, from exchanges within a year.
Canada already has restrictions of only being able to buy more than $30k a year that's not Eth, BTC (and like 2 others) from exchanges.
Most banks won't let you transfer anything to crypto related transfers either.
— Schiller 🐰 (@Schillerverse) March 24, 2023
In addition to the challenges of limited crypto purchases, individuals in Canada are facing another obstacle to investing in cryptocurrencies. According to a Twitter user, many banks in the country reportedly refuse to process transfers related to these assets. This further limits the ability of Canadians to participate in the crypto market.
