Janet Yellen thinks it is crucial that the U.S. considers the advantages of cryptocurrencies, alongside the potential for misuse.
The Treasury Secretary nominee stated that whereas cryptocurrencies can be utilized to finance terrorism and different illicit actions, in addition they have the potential to “enhance the effectivity of the monetary system” in a written response to the Senate Finance Committee.
“I feel we have to look intently at the best way to encourage their use for legit actions whereas curbing their use for malign and unlawful actions,” she wrote. “If confirmed, I intend to work intently with the Federal Reserve Board and the opposite federal banking and securities regulators on the best way to implement an efficient regulatory framework for these and different fintech improvements.”
The written remarks, first published by Bloomberg, diverge barely from her verbal response to a query about potential crypto use in terrorist financing, requested by Senator Maggie Hassan (D-N.H.). On the time, Yellen referred to as crypto a concern, saying she believes many are getting used “primarily for illicit financing.”
These seem like her first public feedback on the cryptocurrency ecosystem since 2018, when she stated that in her view, many transactions have been “unlawful, illicit transactions.”
Yellen testified earlier than the Senate Finance Committee on Tuesday forward of a attainable vote on her nomination. She has beforehand served as Chair of the Federal Reserve, the U.S. central financial institution, and has been a long-time economist.
Throughout her affirmation listening to Tuesday, she stated the U.S. must distribute extra assist within the type of unemployment reduction and assist for public servants and native governments.
“Neither the President-elect, nor I, suggest this reduction bundle with out an appreciation for the nation’s debt burden. However proper now, with rates of interest at historic lows, the neatest factor we are able to do is act large,” she stated in her opening remarks. “In the long term, I consider the advantages will far outweigh the prices, particularly if we care about serving to individuals who have been struggling for a really very long time.”