The world of cryptocurrencies has come across a major turn, which is one of the imperative ones in its history. The turn comes following the executive order by the White House, around digital assets. Wherefore, the crypto town finds growing discussions around the executive order. However, the price metrics of Bitcoin, Ethereum, and the broader market have been bland.
Successively, the market cap of the industry is hovering around $1.82 Trillion, which is down 4.3% over the day. Howbeit, the sentiments have risen to fear at a score of “28” from extreme fear, on the fear and greed index. While the executive order has been a positive move for the industry. The order holds a bummer for chains relying on the PoW consensus mechanism.
Will This Be A Turning Moment In The Crypto Industry?
Defence Lawyer James K. Filan has shared the executive order, through his social media handle. The executive order by the White House, on ensuring the development of digital assets, is finally out. And has taken the crypto sphere by storm. Wherefore, the talks in the business are revolving around the executive order and its implications.
Successively, the order revolves around the move towards digital assets, CBDCs, and cross-border payments. In addition, to the government’s initiatives towards safeguarding investors’ money. The initiative intends to promote safe and affordable financial services. Which will help underbanked citizens, whilst remitting the high cost of cross-border transfers.
The growing interest in cross-border payments has been enticing the XRP community. Who are now bullish on the future prospects of XRP, owing to its stout hold at the cross-border payments front. And around the future rulings in Ripple’s lawsuit. That said, the interest in CBDCs, digital assets and blockchain has been fueling optimism.
Is The Executive Order A Threat To PoW Chains?
The executive order does hold a bummer of the industry, and PoW chains to be specific. The bummer comes as a number of officials are directed to submit a report to the president. On the connections between distributed-ledger technology and short, medium, and long term economic and energy transitions.
In addition to the potential of these technologies to tackle climatic changes and the impact of these technologies on the environment. The report would also address the effect of cryptocurrencies’ consensus mechanisms on energy usage. Including research into potential mitigating measures, an alternative mechanism of consensus, and design trade-offs.
The prominent leader’s Bitcoin and Ethereum are now in a dilemma following the opinions of the government. Conversely, the executive order also demands the submission of a number of reports, most of which are entitled to submission by 180-days.
In succession, the Shib army is now optimistic of SHIB’s listing on Robinhood following the clarity. On the other hand, the XRP army is now keen on the foot movements of the U.S SEC. As the executive order mentions that the representatives of other executive departments, may receive an invitation to attend the interagency meeting.
Summing up, we can expect major developments and initiatives around CBDCs as the major focus revolves around the same. Moreover, cross-border payments will be revolutionary in the future of payments in the U.S and the globe. That said, we can expect Ethereum’s transition to ETH 2.0 to speed up. And the rise of PoS chains in near future.
Source: https://coinpedia.org/bitcoin/bitcoin-price-may-face-a-25-correction-is-the-executive-order-a-threat-to-btc-eth/