US Officials Banned From Working On Regulation If They Own Crypto

US officials banned from working on regulation if they own any crypto especially in creating federal crypto policies as the US Office of Government Ethics noted so let’s read more today in our latest cryptocurrency news today.

The US officials banned from working on regulation and creating the federal crypto policies if they hold any crypto or stablecoins as the OGE outlined, saying crypto and stablecoins don’t qualify as publicly traded securities. As such, it banned individuals that privately own digital assets from taking part in the federal policies which can affect the valuation of these tokens. In the latest advisory, the OGE explained that the government employees who own securities can apply for the exemption and resume their duties if they don’t surpass the threshold. Since the agency doesn’t classify cryptocurrencies as securities and the workers will not be allowed to take part in the creation of regulation if they hold any crypto:

“As a result, an employee who holds any amount of a cryptocurrency or stablecoin may not participate in a particular matter if the employee knows that particular matter could have a direct and predictable effect on the value of their cryptocurrency or stablecoins.”

It is worth noting that the legislation applies to the governemnt officials like those working at the White House, the Federal Reserve, and the Department of the Treasury. On the other hand, employees could take part in specific government affairs where they have financial interest from holding the mutual crypto funds that operate under the necessary supervision and the workers might not be able to get involved if they are the actual owners of the funds. The OGE explained that the mutual funds focused on crypto and stablecoins should fit the sector funds bill:

“Mutual funds with a stated purpose of investing broadly in companies that would benefit from or use blockchain technology, on the other hand, are considered diversified funds.”

The OGE said that sometimes, identifying the nature of the mutual funds is not quite easy but in such cases, the agency promised to observe the entities and to look beyond the fund name to the prospect of analyzing the functions. The digital asset universe emerged as an intriguing niche for plenty of US politicians and officials and one such example is senator Cynthia Lummis who is a BTC holder. She entered the space in 2013 when the asset’s price was down to $300 and last summer, the topped up the stash with $100,000 worth of the asset.