The recent price rally in Bitcoin has sparked off a new wave of optimism from analysts and investors. However, some people have remained cautious of regulatory actions that might be brought forward by the incoming administration. In the opinion of Max Keiser, trader and analyst, at this point Bitcoin can only go up. Earlier this week, he spoke to Express UK and explained that any regulatory moves that might occur as a result of the upcoming Biden administration wouldn’t have any impact on Bitcoin’s price. According to the crypto analyst, Bitcoin had managed to attain ‘escape velocity’ from US regulators and other countries have also taken note of the pioneer cryptocurrency.
The analyst decided to speak up after there were a flurry of concerns over the new regulations that might be introduced for Bitcoin from Janet Yellen, an incoming Treasury Secretary. As the Trump administration didn’t make much progress on the crypto regulation front, a lot of people believe that Yellen might want to focus more on this popular industry. However, Keiser doesn’t appear to be fazed by it and said that there is nothing that can be done to stop Bitcoin, which wouldn’t involve them printing more fiat currency. If they do that, it would only push Bitcoin’s demand even higher.
Therefore, regulators in a lot of countries are now moving towards Bitcoin. He went on to say that it was not different from the fall of the Soviet Union, except this time it will be the global central banks that fall. According to Keiser, regulators are busy playing checkers while Bitcoin involves 4D chess. Regardless of Keiser’s comments, crypto skeptics are confident that Yellen will not be in favor of the crypto space and will actually be worse than Steve Mnuchin, the outgoing Treasury Secretary. Even though he didn’t do a lot where crypto regulation is concerned, he didn’t exactly have anything good to say about the industry.
Skeptics believe that Yellen will actually be quite fierce in her opposition. An economics professor at New York University, Nouriel Roubini, who is perhaps the most ardent naysayer of the crypto industry, said last week that Yellen would turn out to be more decisive when it comes to taking control. The professor had been debating with a lawyer, Jake Chervinsky, regarding the recent proposals put forward by lawmakers about subjecting stablecoin payments to on-chain Know-Your-Customer and Anti-Money Laundering (KYC/AML) security processes.
Even though Chervinsky believes that this proposal would never be signed into law, Roubini responded in the usual fiery way. Talking about his experience at the Council of Economic Advisers (CEA) with Yellen, Rouibini said that the new Treasury Secretary would be taking a hard stance where crypto is concerned, much more than Mnuchin. He also directed some insults towards Chervinsky. For now, it is unclear whether the Biden administration will be favorable for crypto or not. No members of the incoming cabinet have made any comments about cryptocurrency so far and the administration hasn’t responded.