- On Thursday, President Donald Trump signed an executive order aimed at safeguarding digital assets and easing the regulatory pressure on the crypto industry from previous administrations.
- The President also announced the creation of an internal committee led by David Sacks aimed at strengthening the United States’ position in the cryptocurrency space.
Donald Trump, often regarded as one of the most influential and controversial U.S. presidents, has once again stirred the pot with a bold crypto move. Known for his unorthodox leadership style, the 47th president of the United States has made it clear that he’s serious about making America the global leader in cryptocurrency and artificial intelligence.
Just three days after his inauguration, Trump made a notable pledge at the World Economic Forum to make the U.S. the “world capital of artificial intelligence and crypto.” He is already putting his words into action with an executive order aimed at fostering the growth and regulation of cryptocurrencies in the U.S.
The executive order establishes a presidential working group that will work towards creating a federal regulatory framework for the crypto industry. The group will be led by David Sacks, the White House A.I. & Crypto Czar, with participation from key financial regulators, including the Treasury Secretary, the Securities and Exchange Commission Chair, and other regulatory heads.
Key Focus Areas of the Executive Order
The executive order outlines key priorities aimed at boosting the U.S. digital asset market, including the creation of a national digital asset stockpile funded by cryptocurrencies lawfully seized by the federal government. However, it falls short of establishing a strategic Bitcoin (BTC) reserve, a concept that has been widely discussed in cryptocurrency circles. Senator Cynthia Lummis had previously introduced a bill calling for the Federal Reserve to hold Bitcoin as a reserve asset.
Supporters of the reserve, including Michael Saylor, contend that Bitcoin is the new “digital gold,” and just as the U.S. holds gold reserves, it should also accumulate Bitcoin. Brian Armstrong, CEO of Coinbase, echoed this viewpoint at the World Economic Forum in Davos, stating:
I believe the world is shifting towards a Bitcoin standard for money. Any government that holds gold should also hold Bitcoin as a reserve.
The order highlights the importance of clear cryptocurrency regulations while banning central bank digital currencies (CBDCs) to maintain decentralization. It also ensures protections for blockchain developers and miners, supporting their freedom to innovate without persecution.
Additionally, it aims to protect the sovereignty of the U.S. dollar by promoting the growth of dollar-backed stablecoins, positioning the U.S. as a leader in global digital finance, and ensuring the dollar remains dominant in the crypto economy.
As part of his plan, Trump appointed pro-crypto hedge fund manager Scott Bessent to lead the Treasury Department, bringing expertise to support crypto innovation. Additionally, the SEC established a new crypto task force led by Commissioner Hester Peirce, known as “Crypto Mom,” who advocates for a regulatory framework that fosters innovation while ensuring market protection. This pro-crypto stance is expected to drive an increase in applications for crypto ETFs and the settlement of lawsuits filed against crypto companies.
In addition to his executive actions, President Trump has personally invested in the future of the crypto industry. Last Friday, he launched his official meme coin, TRUMP, followed by a coin for First Lady Melania Trump, called MELANIA, which debuted on Sunday, as per the CNF report. Bitcoin had surged past $109,000 in anticipation of pro-crypto policies on the 20th and is currently trading at $105,421, reflecting a 3.11% increase in the past day.
