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US Crypto Industry Awaits Trump’s Executive Orders for Revival

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The cryptocurrency industry is buzzing with anticipation as former President Donald Trump prepares to return to office with a possible focus on crypto-friendly executive orders. Industry insiders and advocates are pushing for swift action to promote crypto adoption and reverse restrictive policies implemented during the Biden administration.

Trump’s Promises to the Crypto Community

On the campaign trail, Trump promised to become a “crypto president,” advocating for innovative policies to bring blockchain technology and cryptocurrencies into the mainstream. The crypto industry is now urging his team to follow through on these promises with executive orders in his first 100 days in office.

Some key proposals include:

  • Creating a Bitcoin Stockpile: Establishing a strategic national bitcoin reserve to strengthen the U.S.’s position in the global cryptocurrency market.
  • Ensuring Banking Access: Enabling cryptocurrency companies to access traditional banking services.
  • Setting Up a Crypto Council: Forming an advisory body to oversee crypto-related policies and initiatives.

Expected Executive Actions

Trump is expected to issue a series of executive orders on his first day back in office, January 20. Industry officials believe at least one crypto-focused directive could be part of these initial actions. Rebecca Rettig, Chief Legal and Policy Officer at Polygon Labs, emphasized the importance of laying out a clear roadmap to set the tone for his administration’s priorities.

Reversing Biden’s Crypto Crackdown

The Biden administration implemented stringent regulatory measures on cryptocurrency firms, citing concerns over crime and market volatility. Trump’s team, however, has pledged to reverse these policies. Key appointments such as crypto-friendly Securities and Exchange Commission (SEC) chair Paul Atkins and White House crypto czar David Sacks signal a pro-crypto agenda.

Brian Hughes, a spokesperson for Trump’s transition team, expressed that Washington’s bureaucracy has hindered innovation, but President Trump is committed to fulfilling his promise of advancing American leadership in cryptocurrency.

Bitcoin as a Strategic Reserve Asset

One of Trump’s most talked-about proposals is the creation of a national bitcoin reserve. Analysts are divided on whether this initiative could be implemented via executive action or if it would require congressional approval.

The Bitcoin Policy Institute has even drafted a potential executive order for the initiative. The proposed text designates bitcoin as a strategic reserve asset and mandates the Treasury Department to spend $21 billion over a year to establish the reserve.

Addressing Banking Challenges for Crypto Firms

Crypto companies have long faced challenges accessing banking services due to regulatory scrutiny. Trump previously stated he would not allow banks to “choke” crypto firms out of the financial system. An executive order on this matter could signal support for the industry, though experts caution that federal banking regulators, being independent, may not immediately adjust their policies.

A Crypto Industry Council in the Works

Trump’s team is also exploring the establishment of a specialized crypto council to provide oversight and guidance for the industry. This would mirror past administrations’ use of executive orders to form advisory bodies for niche industries.

A Broader Approach to Crypto Regulation

Beyond these immediate actions, Trump may issue an overarching executive order outlining principles for crypto regulation. This could mirror his 2017 order reviewing banking rules and signal a broader shift toward regulatory frameworks better suited to cryptocurrency and blockchain technology.

Looking Ahead

As Trump’s administration prepares to take office, the crypto industry remains hopeful for a new era of innovation and support. With executive orders potentially laying the groundwork for significant policy changes, the U.S. cryptocurrency sector could see a resurgence under Trump’s leadership.

By fostering a favorable regulatory environment and addressing long-standing challenges, Trump’s proposed actions aim to position the U.S. as a global leader in the cryptocurrency revolution.

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