Cryptocurrencies have been quite popular since their introduction to the people. In recent years the term had gained much attention from young investors and government authorities who are getting aware of this new form of money and how it can be used in one’s daily life. One such case has been in the United States, where the government decides how cryptocurrency can be fitted into the infrastructural bill.
The recent debate in the United States has started news. Recently the US President Joe Biden called cryptocurrency a generational investment. And how it can be used in building developmental activities which can help the people of the country. However, since the market is quiet and regulated, it won’t be easy to use the currency for public welfare. Hence, to use this potential revenue source, few government officials are eager to introduce new rules to make this regulated market a tame one.
Facts on cryptocurrency
The estimated market for cryptocurrencies has grown up to become 1.8 trillion dollars. Bitcoin is now worth 45000 dollars each. Hence, it won’t be unfair to say that using cryptocurrency is a high and valuable source of revenue.
The most distinctive feature of this currency is that it is not linked to any bank or government and allows the users to send and receive beyond any limit. One limitation of this form of money is that it is also widely used by anti-social elements such as money launderers, international criminals, truck dealers, and even hackers.
What do government officials think?
There has been a quiet understanding of the US government related to the topic of using cryptocurrencies. Some authority officials believe that it is a part of technological innovation and should be welcomed. Where are the top us regulators also warning against dangerous threats that come along with using cryptocurrencies to collect revenue? According to the chairman of the securities and exchange commission of the United States, Gary Gensler suggested that investors should be provided more protection against the unfavourable consequences of investing in the cryptocurrency market.
There has also been new circulating that the federal reserve is looking forward to developing their digital currency linked with the US dollar. Introducing such currency would be to make faster payments to banks customers, and even businesses. Both these sides of the government are not on the same opinion.
The infrastructure bill connection
Recently the senate debated upon the use of cryptocurrency in infrastructural development in the United States, where the republicans opposed the idea. The government was in favour of imposing taxes on cryptocurrency users. It is estimated that the 28 billion is likely to generate more than what the IRS crackdown proposal promised. This is believed to be the biggest revenue racer part of the infrastructural bill.
The debate has been ongoing about the definition of brokers and software developers, and crypto miners who would also be a part of the process. Moreover, it was also objected that it would be difficult to collect the data about the investors as all the information in the crypto market is completely anonymous.