President-elect Donald Trump is poised to reshape the US government’s approach to cryptocurrencies, as he actively seeks candidates with industry-friendly views to fill key regulatory positions.
According to According to The Washington Post, as part of his strategy to establish the United States as the “crypto capital of the world,” Trump’s transition team is consulting with cryptocurrency executives to explore potential changes to federal policy.
SEC reform on the horizon
Trump’s commitment to a more permissive regulatory environment is consistent with his commitment Election campaign promiseswhich has received significant support from the industry, as evidenced by the current upward trend in prices following his victory over Vice President Kamala Harris last Tuesday.
Early discussions among Trump’s advisors have reportedly focused on financial regulators, particularly the Securities and Exchange Commission (SEC), where leadership choices will significantly impact the future of digital asset regulation.
Candidates under consideration include a mix of current regulators, former officials, and financial industry executives known for their pro-crypto stance.
Notable names include Daniel Gallaghera former Securities and Exchange Commission (SEC) official who now works at US-based cryptocurrency exchange Robinhood, and pro-crypto commissioners Hester Peirce and Mark Ueda.
These individuals have publicly criticized the past policies of the SEC and its Chairman Gary Gensler under President Joe Biden, particularly the agency’s aggressive enforcement against digital asset companies, with ongoing investigations and rulings. Lawsuits Against major players in recent years.
Trump’s Cryptocurrency Advisory Team
Industry executives, including Ripple CEO Brad Garlinghouse, have indicated that they expect the new… Trump administration To focus on regulatory clarity, which lacks a fragmented legal framework governing cryptocurrencies.
The digital assets sector has long called for comprehensive legislation to define the status of currencies such as XRP, Litecoin and Solana, to create investor protections and introduce new investment products such as Bitcoin. Spot exchange-traded funds (Exchange Traded Funds) invest in Bitcoin and Ethereum which were approved earlier this year.
Trump’s support has also attracted high-profile industry figures, including Elon Musk and Howard Lutnick, who are involved in shaping the administration’s cryptocurrency policies.
However, Lutnick, CEO and head of Cantor Fitzgerald Asset Management, raised concerns about potential conflicts of interest given his ties to stablecoin issuer Tether and other cryptocurrency-related companies.
As Trump moves forward with his transition, The Washington Post reports that his team is exploring creating a Presidential Cryptocurrency Council and is considering appointing a cryptocurrency advisor within the National Economic Council.
in spite of Optimistic outlook Among supporters, some Democrats have expressed concerns about the potential effects of Trump’s pro-crypto policies.
Critics argue that the regulatory changes sought by the industry could undermine consumer protections and “expose investors to greater risks of fraud and market manipulation.”
While the 47th president now aims to implement a comprehensive agenda, including the possibility of establishing a national government Bitcoin reserveThe effectiveness of these plans depends on the regulatory authority.
However, with the GOP winning a majority in Congress, the path to these indicators may be easier for Trump and the broader industry.
Featured image from AP, chart from TradingView.com
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