Definition ∞ IEEPA Limits refer to the restrictions and scope of authority granted under the International Emergency Economic Powers Act, a United States federal law. This act empowers the President to regulate international commerce during a national emergency, including imposing sanctions and controlling assets. In the context of digital assets, IEEPA limits define the boundaries within which the U.S. government can legally intervene in cryptocurrency transactions or seize related assets. Understanding these limits is crucial for assessing regulatory risk.
Context ∞ The discussion around IEEPA Limits in the digital asset space centers on the extent of governmental authority over decentralized protocols and virtual currency exchanges. A key debate involves how traditional emergency powers apply to novel, borderless digital economies. Future legal interpretations and legislative actions will shape the ability of the U.S. government to impose sanctions or control digital assets, impacting the global regulatory landscape for cryptocurrencies.