.According to the paper, "costs of crypto, meanwhile, have adversely impacted consumers, the financial system, and even the physical environment

.The report focuses nearly entirely on cryptocurrency as a possible alternative to fiat money

.The report focuses nearly entirely on cryptocurrency as a possible alternative to fiat money

Harare- Trade organisations and lobbyists working to inform politicians about the advantages of blockchain technology are appalled by the recent escalation of the assault on cryptocurrency.The Council of Economic Advisers' annual publication, the current Economic Report of the President, just released a comprehensive study of the condition of the American economy and policy suggestions for solving economic concerns, including cryptocurrency.

The basics of digital assets, which are value representations in the digital realm that may be moved, saved, and traded electronically, are outlined in the first section of the chapter. Blockchain-based digital assets, such as cryptocurrencies, stablecoins, and non-fungible tokens, come in a variety of shapes and sizes.There were more negative comments than there were positive ones. "It has been argued that crypto assets may provide other benefits, such as improving payment systems, increasing financial inclusion, and creating mechanisms for the distribution of intellectual property and financial value that bypass intermediaries," the authors wrote. "In addition to the decentralized custody and control of money, it has been argued that crypto assets may provide other benefits." "Until now, none of these advantages have been provided by crypto assets."

According to the paper, "costs of crypto, meanwhile, have adversely impacted consumers, the financial system, and even the physical environment."The authors of the paper noted scathingly that, as of right now, "cryptocurrency assets do not appear to offer investments with any fundamental value, nor do they act as an effective alternative to fiat money, improve financial inclusion, or make payments more efficient."Next, the authors said that those who created cryptocurrencies "created artificial scarcity in order to support the prices of crypto assets." However, the same chapter also emphasizes the need for authorities to strike a balance between safeguarding consumers and promoting innovation in the digital asset market.

Impact on Regulation

The report made no recommendations for immediate action. Regulators, though, don't require a starting pistol. Some agencies, including the Securities and Exchange Commission, have already begun taking action in full force after giving Coinbase a Wells notice the very following day.

Building Web3

The report focuses nearly entirely on cryptocurrency as a possible alternative to fiat money. That is a strawman argument, thus it is simple to disprove. Cryptography is much more than just a currency. It is a more effective method of using the internet. (of value). Web3 is only discussed in one sentence, which misses the fact that actual use cases are being developed.

What Happens Next

The crypto part of the paper finishes with a list of policy suggestions for fostering innovation and stability in digital asset markets. These consist of ensuring regulatory certainty and clarity, encouraging openness and disclosure, and utilizing technology to improve regulatory monitoring. What aligning acts actually take place is still to be seen.Particularly for nations like Zimbabwe who want to explore the usage of cryptocurrencies, this paper that was produced by US policymakers would be of interest.

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