Clinton cited the combination of social media algorithms and the amassing of large sums of money through the control of cryptocurrencies, as a potential issue for the status of the U.S. dollar. She then called on the Biden administration to regulate the market.
"We're not only looking at states like Russia or China, but we're also looking at non-state actors destabilizing states [and] destabilizing the dollar as the reserve currency," she said. "There are so many big questions that the Biden administration must address."
Sygnum Bank’s Digital Asset Outlook 2022 report analyses the developments that shaped the crypto industry in 2021, and lays out Sygnum’s strategic outlook for the market and its key sectors and trends for the year ahead.
With more than $100 billion in market cap across all chains, it is likely that the DeFi market cap will grow to $200 billion by 2025. However, many users still face various technical barriers when using decentralised platforms to do on-chain farming, staking and trading, while off-chain solutions face liquidity issues, fiat restrictions and the lack of a central multichain to support crypto assets and institutional-grade custodians.
The Federal Reserve dropped a new central bank digital currency white paper on Thursday. While largely avoiding the topic of crypto, it suggests that a US CBDC could compete with "private digital money."