Better crypto rules and opportunities could be on the way as the Trump 2.0 administration prepares to take office in January 2025. Donald Trump’s second administration will likely introduce more lenient crypto rules that could elevate the crypto space in the US and beyond.
A Report in the Washington Post states that US President-elect Donald Trump plans to introduce significant changes within the digital asset sector that encompass market structure legislation and a stablecoin payment act. With a pro-crypto majority in the Senate and House of Representatives, Trump’s upcoming policy on the cryptocurrency sector is set to define new crypto rules and opportunities that could further influence the price of Bitcoin and other digital assets.
The Possibility of More Favorable Regulation
According to the post, the incoming President is working on a list of favourable candidates to fill positions in the emerging cryptocurrency industry. The report further states that Trump’s senior advisors are currently holding talks with crypto industry executives regarding potential areas on which the proposed federal policy changes could focus. Sources privy to the ongoing discussions intimate that the initial discussions surround the work of regulatory watchdogs with a special interest in the U.S. Securities and Exchange Commission (SEC).
The return of Donald Trump to the White House follows a heated campaign in which he made many promises, including introducing lenient crypto rules and a flexible approach towards blockchain and digital asset legislation. While some industry players are excited by the possibility of positive crypto rules and opportunities in the coming days, others seem apprehensive about what could be coming.
Pro-crypto Congress Could Introduce Lenient Crypto Rules
The possibility of more favourable regulation for the nascent industry has already ignited a Bitcoin rally when a few other market players are questioning the intentions of Trump’s administration. Considering that the US already holds a predominant position regarding crypto innovation and development, there are high hopes that Trump’s triumph in the polls will herald new crypto rules and opportunities.
Commenting on the development, Concordium CEO Boris Bohrer-Bilowitzki observed that the entry of Trump 2.0 was “a decisive change for the crypto industry in the United States, but also internationally.” He further opined that the pro-crypto President could effectively use his power to remove roadblocks, such as bureaucratic hindrances from former administrations that curtailed the growth of crypto innovation and companies. The presence of a hugely pro-crypto Republican Congress is expected to foresee the appointment of a favorable head of the SEC to accelerate the introduction of lenient crypto rules as promised.
What Trump Promised Crypto
What Trump Promised Crypto
Trump’s promises to promote the introduction of new crypto rules and opportunities were headlined in a campaign meeting in Nashville in July during one of the biggest Bitcoin conferences. Addressing the participants when he gave a keynote address, Trump pledged to ensure that the Federal Government would keep its Bitcoin holdings if he won the presidency, stopping short of proposing introducing a digital currency federal reserve. Trump stated, “For too long our government has violated the cardinal rule that every Bitcoiner knows by heart: Never sell your Bitcoin.”
While pledging to maintain the government’s BTC holdings from assets mainly seized from financial criminals, Trump stated that the USA would “keep 100% of all the bitcoin the U.S. government currently holds or acquires into the future.” The US government has severally auctioned off Bitcoin and other digital assets worth hundreds of millions of dollars through the U.S. Marshals Service. Trump also promised to fire the Chairman Gary Gensler, saying, “on day one, I will fire Gary Gensler.” Gensler has brought over 100 legal actions targeting crypto firms during his tenure.
Conclusion
While there’s so much optimism surrounding the promise of better crypto rules and opportunities during Trump 2.0, some observers still determine how far this will go, especially in protecting individual investors. Only time will tell whether the stakes surrounding lenient crypto rules could extend internationally to jurisdictions like China, where competitions surrounding blockchain and crypto technologies are expected to become a new axis as Trump seeks to make the US a global leader.
