The US government’s stance on cryptocurrencies and the crypto market is mixed and often depends on specific agencies and regulators. Common features of the government’s stance include the following aspects:

1. Regulation and Oversight: The main US financial regulators, such as the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), seek to regulate cryptocurrencies, especially in the context of investor protection and fraud prevention. For example, the SEC considers some cryptocurrencies to be securities and requires their registration.

2. Anti-Money Laundering (AML) and KYC: The Financial Conduct Authority (FinCEN) and other agencies seek to prevent cryptocurrencies from being used for illegal activities by imposing strict KYC and AML requirements.

3. Taxation: The IRS treats cryptocurrencies as property, which means that cryptocurrency transactions are subject to taxation. This includes capital gains tax on the sale of cryptocurrencies.

Part 1