Bitcoin prices edged over 8 percent higher on Wednesday after President Biden announced an anticipated executive order on digital assets, seen by the sector as a positive stance towards crypto.
Bitcoin was trading at $41,895.80 Wednesday morning, with other cryptocurrencies also displaying strong showings.
The executive order attempts to steer the U.S. toward a better framework for crypto development, which critics have been saying is currently lacking.
“The United States must maintain technological leadership in this rapidly growing space, supporting innovation while mitigating the risks for consumers, businesses, the broader financial system, and the climate,” wrote Biden in the executive order.
The order focuses around six key areas: consumer and investor protection, financial stability, addressing illicit activity, the competitiveness of the U.S. in comparison to the rest of the world, financial inclusion, and responsible innovation. It calls for the Treasury to examine the sector and to develop policy recommendations on the crypto space, while reducing risk to investors and consumers.
Crypto investors are calling the event “historic,” pointing to it as a potential turning point in the legitimization of oft-maligned digital currencies.