JPMorgan: Laws in the USA May Put These Coins at Risk

According to banking giant JPMorgan, laws in the US move against certain types of cryptocurrencies.

Politicians in the USA have accelerated their work on cryptocurrency legislation in recent months. How this will play out remains to be seen.

There is no room for those who do not obey the law

According to JPMorgan analysts, recent legal efforts are moving in the direction of “against the Fed coin, U.S. banks tying up with crypto, non-compliant stablecoins like Tether (USDT), and the securitiesization of all tokens other than Bitcoin and Ethereum.”

It is considered likely that the Payment Stablecoin Openness Bill will be approved before this year's presidential elections.

While this proposal paves the way for stablecoins with regulatory compliance in the United States, it could undermine the dominance of other stablecoins such as Tether.

Biden's veto is on the agenda

Congress rejected the SAB 121 rule, which made it harder for banks to provide custody services for cryptocurrencies. However, this decision was vetoed by Joe Biden.

The House of Representatives approved the 21st Century Financial Innovation and Technology Bill. This needs to be approved first by the Senate and then by the president. JPMorgan analysts find this unlikely to happen before the election.

The future of CBDCs is uncertain

The Central Bank Digital Currency Anti-Oversight Government Bill aims to prevent the issuance of a central bank digital currency (CBDC) in the United States.

The House of Representatives passed this proposal last month, preventing the Fed from issuing CBDCs. However, the Senate's decision is not yet clear.

Biden's election rival, Donald Trump, promised to block CBDC if elected president.