The cryptocurrency community is eagerly anticipating Donald Trump’s upcoming inauguration on January 20, as they see it as an opportunity to move beyond the stringent regulations they faced during the Biden administration. A recent report from the New York Post has shed light on President-elect Donald Trump’s plans to create an ‘America-first’ crypto reserve that will focus on U.S.-based cryptocurrencies like Solana ($SOL), Ripple ($XRP), and USD Coin ($USDC).
Trump’s Strong Support for Crypto Initiatives
In the coming days and weeks, the Trump administration is gearing up to introduce new executive orders that are specifically tailored to the cryptocurrency industry. The New York Post has reported that President-elect Donald Trump is considering the creation of an “America-first” strategic reserve that will give preference to U.S.-based cryptocurrencies such as USDC, SOL, and XRP. It has been mentioned in the report that Trump has recently met with the creators of these cryptocurrencies and is open to the idea of supporting them.
The imminent issuance of executive orders could pave the way for the establishment of a Bitcoin reserve and put an end to banks refusing to work with cryptocurrency clients. One of Trump’s key promises in the crypto space is the establishment of a national Bitcoin reserve, a move that has already prompted several public companies to start incorporating Bitcoin into their financial reserves.
In addition to federal initiatives, individual states are also stepping up their involvement in the crypto industry. For instance, Oklahoma’s Representative Cody Maynard has recently introduced a bill that would allow the state treasurer to invest in cryptocurrencies like Bitcoin and stablecoins. This initiative is part of a broader effort, with states like Texas, Pennsylvania, and Ohio also planning to set up their own crypto reserves.
Trump’s Market-Friendly Approach
The cryptocurrency market is breathing a sigh of relief after enduring years of stringent actions under the Biden administration. During Biden’s tenure, banking regulators from the FDIC had instructed banks not to engage with cryptocurrency companies, stalling the industry’s growth. Venture capitalist Marc Andreessen had characterized these actions as “terrorizing” startups. Therefore, Trump’s recent initiatives aimed at promoting the crypto market have significantly boosted buying demand.
Trump’s commitments include firing SEC Chair Gary Gensler, pardoning Silk Road founder Ross Ulbricht, establishing a Crypto Presidential Advisory Council, canceling SAB 121, halting “Operation Choke Point 2.0,” and positioning the U.S. as a leading Bitcoin mining hub. Following these announcements, Gensler confirmed his departure from the SEC.
Furthermore, David Sacks, appointed by Trump as the Crypto and AI Policy Advisor, is organizing the inaugural Crypto Ball in Washington, D.C. this weekend. With sponsorship from industry leaders like Coinbase, Solana, and Galaxy Digital, the event underscores the administration’s dedication to promoting blockchain technology.
In conclusion, the cryptocurrency community is looking forward to a more favorable regulatory environment under the upcoming Trump administration. The initiatives and commitments made by Trump signal a positive shift for the industry, providing hope for growth and innovation in the crypto space.