Janet Yellen, 78th U.S. Secretary of the Treasury, spoke Friday morning on CNBC’s leading business and political show Squawk Box on a range of topics, including the growth of the renewable energy sector amid Russia’s economic lockdown, rising inflation and federal liability reserves, as well as its current view of digital assets.
While acknowledging the many technological and social advances in crypto over the past few years, Yellen offered a friendlier and more receptive tone than in previous times, stating that crypto “is now playing a significant role, not so much in transactions but in the investment decisions of many Americans.”
“Cryptocurrency brings benefits, and we understand that innovation in the payment system can be beneficial.”
I see great strength in the American economy. We have an extremely strong labor market, historically low unemployment, and consumer spending continues to be high. I joined @SquawkCNBC this morning to discuss.pic.twitter.com/NKM1H8fDQC — Secretary Janet Yellen (@SecYellen) March 25, 2022
Along with this, Yellen was keen to express some concerns about the financial stability of the market — an assessment that pundits and officials operating within Wall Street’s jurisdiction often targeted high-volatility industry assets — in addition to protecting consumer investments and using them for illicit transactions. .
Yellen’s historical attitude towards digital assets can be summarized by recalling her remarks at the U.S. Financial Sector Innovation Policy Roundtable in February 2021: “I see the promise of these new technologies, but I also see the reality,” while continuing to list the problems with money laundering. online drug dealers and terrorist financing in the industry.
Related: Janet Yellen unveils details of Biden’s crypto executive order
Earlier this month, President Joe Biden issued an executive order on crypto — his 82nd in office — and one that advocated unifying all regulators in publishing a consumer-facing financial framework.
Industry leaders generally praised the order and spoke hopefully of the opportunities it could bring in the future, with Yellen herself saying it could “result in significant benefits for the country, consumers and businesses.”