Incoming President Donald Trump Could Declare Crypto a National Priority
Incoming President Donald Trump could kick off his term with an executive order that designates crypto as a national priority.
According to unnamed sources with knowledge of the matter, President Trump is considering signing an executive order that would elevate the status of cryptocurrency within the United States. The order is expected to create a crypto advisory council and encourage government agencies to collaborate with the industry. It is rumored that the order could be signed as early as January 20.
The executive order may also include a directive for federal agencies to review their crypto policies and potentially pause ongoing litigation against major industry players. This move is seen as a significant shift from the regulatory approach taken by the Biden administration, which has been more stringent towards cryptocurrencies.
One of the key elements of the proposed executive order is the creation of a strategic Bitcoin reserve. This reserve would allow the U.S. government to manage its existing crypto holdings, which are estimated to be around $20 billion, primarily in Bitcoin seized from criminal investigations. The reserve is seen as a way to hedge against inflation and tackle the national debt.
During his campaign, Trump expressed his vision of making the U.S. a leader in the crypto industry, aiming to position the country as the “crypto capital of the world.” Market optimism over Trump’s anticipated crypto order has pushed Bitcoin back above $100,000, signaling a positive outlook for the industry.
While the specifics of the executive order are still being finalized, industry experts believe that these changes could help the U.S. reclaim its position as a leader in the crypto space. Kara Calvert, vice president for U.S. policy at Coinbase, sees Trump’s policy changes as a signal to other countries that the U.S. is ready to lead once again.
In a related development, reports suggest that Trump is considering an “America-first” crypto reserve strategy that would prioritize U.S.-founded digital assets such as Solana, USD Coin (USDC), and Ripple’s (XRP). This strategy could further solidify the U.S.’s position in the global crypto market.
Overall, the potential executive order signaling Trump’s support for the crypto industry has generated optimism and renewed interest in the sector. As the details of the order unfold, it remains to be seen how it will impact the future of cryptocurrency regulation and innovation in the United States.