Graham Steele, US Assistant Secretary of the Treasury for Financial Institutions, is calling for standards to regulate cryptocurrencies to anticipate potential crises.
US Assistant Secretary of the Treasury for Financial Institutions Graham Steele He stressed setting standards before potential crises occur. Speaking at an event at George Washington University Law School, Steele highlighted the opportunity for policymakers to learn from previous financial crises, such as those that led to the Dodd-Frank Act and the National Bank Act.
“For crypto assets, policymakers have an opportunity to act before the crisis to adopt higher standards that support responsible innovation,” Steele said.
He stressed the required balance in legislative proposals, calling for the development of regulations that promote innovation without prejudice to existing financial regulations.
Steele's tenure at the Treasury Department, covering areas such as cybersecurity and cryptocurrencies, comes amid a growing focus on cryptocurrency regulation in Washington. This includes President Joe Biden's 2022 Executive Order, which proposed a comprehensive government approach to digital assets, targeting consumer protection, financial stability, climate risks, and national security.
The Treasury Department's 2022 report, under the executive order, called for vigilant monitoring of the cryptocurrency sector and strong enforcement of investor and consumer protection laws.
Where existing laws and regulations apply, they must be robustly implemented so that crypto assets and services – and the consumers who use them – are subject to the same protections and principles as other financial products and services.
Graham Steele speaks with the Business Law and Finance Program at George Washington University
Steele also explored the positive potential of cryptocurrencies, noting their use in cross-border payments, cost-effective settlements, and immutable ledgers.
