(Bloomberg) — As Inauguration Day approaches, crypto industry insiders are looking forward to a number of digital asset-friendly executive actions at the start of the second Trump administration.
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Potentially at the top of the wish list would be an executive order urging regulators, including the Commodity Futures Trading Commission and the Securities and Exchange Commission, to collaborate on developing a digital asset policy framework. The decision on how to classify crypto assets will ultimately rest with Congress, but the executive order will prompt government agencies to release research that advances the issue. There is a possibility. The largest US companies in this space, from Coinbase Global Inc. to Ripple Labs, have long advocated for clear regulatory guidelines when it comes to digital assets.
President-elect Donald Trump has installed pro-industry figures as regulatory leaders, including former SEC Commissioner Paul Atkins as chairman of major securities industry regulators and Scott Bessent as Treasury secretary. He also introduced a new role: Artificial Intelligence and Cryptocurrency Emperor. The role will be filled by David Sachs, general partner at venture firm Craft Ventures and co-founder of PayPal Holdings.
“Ultimately, these are the people who are going to decide policy,” said Ari Redboard, global head of policy and government at blockchain intelligence firm TRM Labs. “As regulators, they need to thread the needle between enabling the privacy of legitimate users within an open financial system, while also deterring malicious actors and ensuring consumer protection. I understand that.”
Increased transparency would coincide with the cryptocurrency industry’s push to gain broader access to banking services. Under the Biden administration, regulators issued statements warning of the risks associated with operating digital asset banks. The closure of crypto-friendly banks Signature and Silvergate in 2023 reignited concerns that banks are being pressured not to do business with crypto companies.
“A level regulatory playing field between the banking and crypto sectors and clear rules regarding permissible crypto-related products and services will support a safer environment for consumers and the financial system.” said Rebecca Romero Rainey, president of Independent Community Bankers. The United States said in a statement Friday.
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