President-elect Donald Trump is planning to use his executive powers to reduce the regulatory burden faced by cryptocurrency companies and promote digital asset adoption in his first few days in office, according to three sources briefed on the plan.
Trump, who courted crypto cash on the campaign trail with promises to be a “crypto president,” is expected to sign an executive order creating a crypto advisory council, an idea he first floated in July, said two of the sources.
Bloomberg News reported on Thursday that Trump was planning to issue an executive order creating a crypto council, which would help advise the government on crypto-friendly policy. It could have as many as 20 members, according to the sources.
Trump’s advisers have also discussed using an executive order to direct the Securities and Exchange Commission to rescind 2022 accounting guidance known as “SAB 121” that has made it too costly for some companies, particularly banks, to hold cryptocurrencies on behalf of third parties, the sources said.
Trump is also expected to order the end of “Operation Choke Point 2.0,” the term crypto executives use to describe what they say has been a concerted effort by bank regulators to choke crypto companies out of the traditional financial system by directing banks to deny them services.
Bank regulators deny that such an effort exists.
It’s not clear if Trump would direct the changes via one or several executive orders, but sources said the goal was to quickly send a strong signal that the new administration broadly supports digital asset adoption.
If implemented by the relevant regulators, Trump’s expected policy directives have the potential to push cryptocurrencies into the mainstream, say regulatory and crypto experts.
That is in stark contrast to President Joe Biden’s regulators which, in a bid to protect Americans from fraud and money laundering, cracked down on crypto companies, suing exchanges Coinbase, Binance, Kraken and dozens more in federal court.
&uuid=(email))