Donald Trump has secured victory in the 2024 U.S. presidential election, emerging as the favored candidate for the crypto community. Throughout his campaign, Trump pledged to support the digital asset market, making him a beacon of hope for crypto investors. Now, with Trump set to assume the presidency, the crypto world eagerly awaits the execution of his ambitious agenda. Here’s a look at the ten key initiatives that could reshape the crypto industry under his leadership.
1. Restructuring the SEC
The U.S. Securities and Exchange Commission (SEC) plays a pivotal role in regulating the crypto industry, often imposing stringent measures that impact its growth. This has led to regulatory clashes with prominent crypto projects such as Ripple, Solana, and Ethereum, with accusations that these platforms issue unregistered securities in the form of a token.
Under Gary Gensler’s leadership, the SEC’s regulatory pressure has intensified, with crypto companies paying approximately $426 million in fines to resolve disputes. Trump has vowed to dismiss Gensler, viewing him as unsuited for the role.
Reports suggest that Dan Gallagher, a former SEC commissioner with a pro-crypto stance, could replace him. Such a change could reduce regulatory hurdles for U.S. crypto companies, which have already seen several, including Bittrex and Nexo, relocate abroad due to stringent regulations.
2. Establishing a Bitcoin reserve
The U.S. government currently holds 207,189 Bitcoins valued at $15.5 billion, accounting for approximately 0.987% of Bitcoin’s total supply. Speculation about a potential government BTC sale surfaces periodically, which, if realized, could lead to a market downturn and trigger panic selling.
Trump is opposed to this idea and advocates for the creation of a national Bitcoin reserve. This initiative would not only eliminate the threat of a large BTC sell-off but also signal U.S. support for cryptocurrency, potentially elevating digital assets’ status on the global financial stage.
3. Legalizing crypto payments
Trump believes that Americans should be able to use Bitcoin to pay for goods and services, aiming to legalize crypto payments across the country. With the U.S. serving as a major hub for crypto activity, legalizing Bitcoin payments in one of the world’s largest economies could drive up BTC demand significantly and foster market expansion for digital assets.
4. Supporting domestic miners
Trump has openly voiced support for U.S.-based miners, committing to policies that would ensure that the remaining Bitcoin is mined domestically, which he believes would also boost the U.S. energy sector. His pro-mining stance includes resolving conflicts with environmental advocates concerned about the environmental impact of BTC mining.
5. Reducing tax burdens on the crypto community
Another proposed initiative is income tax reduction, which would alleviate financial burdens on crypto investors. Lower taxes could make the U.S. a more attractive base for crypto businesses, ultimately generating additional revenue for the treasury through an influx of new companies.
6. Bolstering the crypto business environment
Trump’s experience as a businessman informs his desire to fortify the standing of crypto companies within the U.S. He aims to support the industry by implementing tax relief and establishing clear legal frameworks for digital assets. By fostering a more crypto-friendly environment, Trump hopes to encourage growth and innovation within the sector.
7. Promoting DeFi as an alternative to traditional banking
Trump has voiced support for World Liberty Financial (WLFI), a DeFi platform that aims to offer users decentralized alternatives to conventional banking tools, such as crypto-backed loans. Through this initiative, Trump envisions greater accessibility to banking services by offering decentralized financial solutions, which could drive broader adoption of DeFi in the U.S.
8. Addressing the national debt with cryptocurrency
Trump has proposed that cryptocurrency could play a role in addressing the U.S. national debt, which has surged to $35.46 trillion. Although he has not specified which digital assets he has in mind, the U.S. Bitcoin reserves currently stand at an estimated $15.5 billion, which he views as a potential asset in managing the country’s debt burden.
9. Rejecting CBDCs in favor of decentralized assets
Central Bank Digital Currencies (CBDCs) are a form of digital currency issued by central banks, and several countries, including the U.S., have begun exploring their development. Trump, however, is strongly opposed to CBDCs, arguing that they could increase Federal Reserve oversight over citizens’ financial activities. He instead advocates for decentralized digital assets like Bitcoin, which he believes better align with the ideals of financial freedom and individual privacy.
10. Positioning the U.S. as a global crypto leader
Trump’s reforms collectively aim to establish the U.S. as the “crypto capital of the world.” Through measures such as tax reductions, support for miners, and the legalization of crypto payments, Trump envisions a future where America leads the way in cryptocurrency innovation and adoption, securing its place as the global epicenter of the crypto industry.
🤔 What do you expect from Trump? Share your views in our socials!
💌 Telegram, Twitter, Instagram, Facebook
Here are three other cool articles:
What are tap-to-earn games and how to make money with them
How to earn crypto rewards: a comprehensive guide
What is Internet Computer? A comprehensive guide
This article is not investment advice or a recommendation to purchase any specific product or service. The financial transactions mentioned in the article are not a guide to action. It’s not intended to constitute a comprehensive statement of all possible risks. You should independently conduct an analysis on the basis of which it will be possible to draw conclusions and make decisions about making any operations with cryptocurrency.
