The cryptocurrency industry is pushing President-elect Donald Trump’s team to kick start his promised crypto policy overhaul when he takes office next month with executive orders that would help push tokens mainstream, according to industry officials. Trump plans to issue a flurry of executive orders and directives on everything from immigration to energy on his first day in office on Jan.
On the campaign trail, Trump courted crypto cash with promises to be a “crypto president,” and the industry wants him to make good on that pledge with executive orders creating a bitcoin stockpile, ensuring the industry can access banking services, and creating a crypto council, the people said. They are pushing for those executive orders within Trump’s first 100 days in office, and expect at least one could come on Jan. 20, said two other people with knowledge of the matter.
As President-elect Donald Trump prepares to take office in January 2017, the cryptocurrency industry is closely watching for a series of key executive orders aimed at supporting the burgeoning sector. During his campaign, Trump garnered significant attention from crypto enthusiasts by embracing the technology, even promising to be a “crypto president.” Now, as he prepares to begin his presidency, industry insiders are hoping that Trump will follow through on his pledge with decisive actions in the form of executive orders that could shape the future of digital currencies in the United States.
With Bitcoin, Ethereum, and other cryptocurrencies gaining mainstream traction, the industry is calling for immediate steps to create a more supportive regulatory framework. This includes calls for creating a national bitcoin stockpile, ensuring that the crypto industry can access banking services, and establishing a dedicated cryptocurrency advisory body, or “crypto council.” These actions, if implemented, could go a long way toward legitimizing cryptocurrencies and fostering innovation in the financial technology space.
In this article, we explore the expected executive orders that could be rolled out in the early days of the Trump administration, their potential implications for the cryptocurrency industry, and how they could shape the future of digital currencies in the United States.
Trump’s Campaign Promises to the Crypto Industry
Donald Trump’s relationship with the cryptocurrency industry has been a mixed one. Throughout his campaign, Trump was both praised and criticized for his positions on technology and finance. However, his rhetoric on digital currencies stood out as a major point of interest for the growing industry.
1. Courting Crypto Cash: Trump’s Support for Digital Currencies
During his campaign, Trump made several references to digital currencies, expressing admiration for their potential and the technology behind them. He notably spoke about Bitcoin, calling it “a very interesting and very cool thing.” His comments were widely interpreted as a sign that he understood the growing influence of digital currencies, particularly among tech-savvy millennials and investors.
Furthermore, Trump embraced the idea of decentralizing power and giving individuals more control over their financial decisions—principles that resonate deeply within the cryptocurrency community. His campaign slogan of “Make America Great Again” was seen by many crypto advocates as a metaphor for cutting through government control and regulation, allowing digital currencies to flourish in a more open environment.
2. A “Crypto President” in the Making?
Trump’s statements on digital currencies suggested that he was willing to create a more welcoming environment for the cryptocurrency industry in the U.S. He often spoke of reducing the burden of regulation on businesses and empowering innovation. For the cryptocurrency sector, which has faced uncertainty and confusion regarding regulatory guidelines, these promises held the promise of a more favorable environment moving forward.
The U.S. crypto industry was hopeful that a Trump presidency would usher in a period of regulatory clarity and growth, allowing businesses to thrive without excessive government interference. In fact, some industry officials even referred to him as a potential “crypto president,” expecting that he would leverage his executive powers to create an environment conducive to the widespread adoption of digital currencies.
The Call for Day-One Executive Orders: What the Industry Wants
Now that Trump is poised to take office, the cryptocurrency industry is pushing his team to take immediate action on digital currency issues. The industry is eager for a swift overhaul of regulations and a firm commitment from the administration that digital currencies are here to stay. According to insiders, several executive orders are being discussed that could make a significant impact on the growth of digital currencies in the U.S. These orders would primarily aim at addressing concerns surrounding banking access, the establishment of a national cryptocurrency reserve, and creating an advisory body to guide future policy.
1. A National Bitcoin Stockpile: Ensuring National Security
One of the most ambitious proposals circulating in the cryptocurrency industry is the idea of creating a national bitcoin stockpile. The proposal is based on the notion that Bitcoin, with its increasing global importance and store-of-value potential, could become a part of the U.S. government’s reserve assets. The concept of a national stockpile would allow the U.S. to hold Bitcoin as part of its foreign currency reserves, potentially placing the country in a stronger position as global demand for cryptocurrencies grows.
For many in the crypto community, the creation of a bitcoin reserve could signal serious institutional backing and recognition of digital currencies as legitimate financial assets. It would also serve to protect the U.S. dollar from the increasing influence of digital currencies, particularly in the face of challenges from foreign nations exploring their own national cryptocurrencies or decentralized systems.
In addition to providing economic benefits, such a move would be seen as a powerful symbolic gesture, showcasing the U.S. government’s acknowledgment of the growing role that cryptocurrencies like Bitcoin play in the global financial system.
2. Access to Banking Services for Crypto Companies
One of the most significant challenges facing cryptocurrency businesses in the U.S. is their limited access to traditional banking services. Many cryptocurrency exchanges and companies have struggled to establish banking relationships, due to the uncertain legal status of digital currencies and the perceived risks involved.
Currently, most banks are reluctant to provide services to businesses that deal in cryptocurrencies, fearing potential regulatory penalties or the possibility of running afoul of anti-money laundering (AML) and know-your-customer (KYC) regulations. This has created a situation in which cryptocurrency companies are forced to operate in a highly fragmented and, at times, inefficient financial environment.
Industry officials are pushing for an executive order that would ensure that crypto businesses have access to banking services, with appropriate regulatory safeguards in place. This would make it easier for crypto firms to operate and expand, encouraging innovation while providing greater legitimacy to the industry.
An order in this direction would help banks feel more comfortable offering services to cryptocurrency businesses, knowing that clear regulatory guidelines and protections are in place. This could open the door to greater financial integration and mainstream adoption of cryptocurrencies, as businesses and consumers alike gain confidence in the stability and security of crypto payments.
3. The Establishment of a Cryptocurrency Council
Another major initiative that industry leaders are advocating for is the creation of a cryptocurrency advisory council. This council would consist of experts from both the public and private sectors, with the goal of advising the government on best practices for cryptocurrency regulation and policy. The council would help to bridge the gap between the cryptocurrency industry and regulatory bodies, ensuring that future legislation and executive orders are in line with the latest developments in the digital currency space.
The formation of such a body would represent a commitment from the Trump administration to engage with the cryptocurrency community and proactively address the concerns of businesses operating in the space. It would also create a platform for dialogue between regulators, lawmakers, and industry leaders, helping to ensure that future policies are informed by both expertise and innovation.
The council could play a crucial role in shaping the future of cryptocurrency regulation in the U.S., potentially paving the way for clearer legal definitions, tax guidelines, and consumer protections for crypto users.
What to Expect from Trump’s Crypto Executive Orders
As the cryptocurrency industry continues to grow and evolve, the actions taken by President Trump in the early days of his administration will set the tone for how the U.S. government approaches digital currencies. While the specifics of any executive orders remain unclear, the industry is optimistic that Trump will take swift and decisive action.
1. Fostering Innovation While Ensuring Regulation
One of the key goals of the crypto industry is to foster innovation while ensuring that the sector remains well-regulated. With the help of executive orders, the Trump administration could lay the groundwork for a legal and regulatory framework that encourages further development in the cryptocurrency space. This could help to legitimize digital currencies and encourage more institutional investment in blockchain and cryptocurrency projects.
2. Providing Clear Guidelines for Businesses
A major issue for many cryptocurrency businesses is the lack of clarity around the legal status of digital currencies and how they should be regulated. Executive orders that clarify the tax treatment of cryptocurrencies, set guidelines for initial coin offerings (ICOs), and define the regulatory responsibilities of financial institutions could provide much-needed clarity for businesses. This would help to prevent regulatory uncertainty from stifling innovation and growth in the industry.
3. The Long-Term Impact on the U.S. Dollar
The increasing popularity of digital currencies, particularly Bitcoin, poses both opportunities and challenges for the traditional financial system. If Trump’s executive orders encourage greater adoption of cryptocurrencies, it could have long-term implications for the dominance of the U.S. dollar in global trade. As countries explore their own central bank digital currencies (CBDCs), the U.S. may need to adapt its monetary policy and financial systems to remain competitive in a rapidly evolving global landscape.
The Crypto Industry’s Hope for Change
As President-elect Trump prepares to take office, the cryptocurrency industry is eager to see how his promises will translate into action. With a growing demand for regulatory clarity, banking access, and support for innovation, the industry hopes that Trump will deliver on his campaign promises by issuing executive orders that help crypto businesses thrive.
While the details of any potential executive orders are still unknown, industry leaders remain hopeful that Trump will make cryptocurrency a priority in his early days in office. Whether it’s through creating a bitcoin stockpile, ensuring banking access, or establishing a cryptocurrency council, the crypto community is looking for strong signals that the U.S. is ready to embrace the future of finance. If Trump’s actions align with his rhetoric, the digital currency sector could see a transformative shift in policy that will propel it into the mainstream