Opinion: Emphasizing the Enhancement of US Dominance in Cryptocurrency Technology
Disclosure: The views and opinions expressed here belong solely to the author and do not represent the views and opinions of cryptopeas.com’ editorial.
On January 23, 2025, President Trump issued an executive order titled “Strengthening American Leadership in Digital Financial Technology.” The executive order aims to support the responsible growth and use of digital assets, blockchain technology, and related technologies across all sectors of the economy in order to secure America’s position as the world’s leader in the digital asset economy, driving innovation and economic opportunity.
The executive order sets out the following high-level policy objectives:
1. Protecting the lawful use of blockchain networks, participation in mining and validation, and self-custody of digital assets without unlawful censorship.
2. Promoting dollar-backed stablecoins.
3. Prohibiting central bank digital currencies.
4. Ensuring fair and open access to banking services.
To achieve these objectives, the executive order establishes a Working Group on Digital Asset Markets, chaired by White House AI & Crypto Czar David Sacks. The Working Group includes top officials such as the Chairman of the Securities and Exchange Commission, the Chairman of the Commodity Futures Trading Commission, the Attorney General, and the Secretary of the Treasury. The Working Group will identify regulations, guidance documents, and orders pertaining to the digital asset industry within 30 days, submit recommendations regarding rescission, modification, or regulatory adoption of those items within 60 days, and submit a report to President Trump recommending regulatory and legislative proposals.
William Quigley, a cryptocurrency and blockchain investor and co-founder of WAX.io blockchain and Stablecoin Tether (USDT), expressed excitement about the executive order’s intention to make the United States the center of digital financial technology innovation. He emphasized the importance of clear regulatory frameworks, especially for stablecoins, and the need to avoid restrictive regulations or unnecessary government interference.
Vivek Ramsar, the CEO of etherealize.io, also believes that the executive order is a significant step towards making the US the capital of crypto and AI.
The executive order rescinds Executive Order 14067, issued by President Biden on March 9, 2022, and the Department of the Treasury’s “Framework for International Engagement on Digital Assets,” issued on July 7, 2022.
Rhett Shipp, CEO of Avant, an onchain stablecoin dollar provider, sees the executive order as a clear signal of the industry’s direction. He believes that supporting stablecoin growth, rather than introducing a government-controlled digital currency, is the right move for both financial innovation and the US economy.
Under the Biden administration, the lack of regulatory clarity in the classification of digital assets between a security and a commodity was a major concern for the crypto industry. The Securities and Exchange Commission’s regulation by enforcement practices also raised concerns.
Recent cases have shown that determining whether a cryptocurrency is a security is a complex task. U.S. District Court Judges Amy Berman Jackson and Katherine Polk Failla expressed their opinions on this issue during hearings related to the SEC’s cases against Binance and Coinbase, respectively.
President Trump has selected legislators who understand the industry, including David Sacks, Representative French Hill, Senator Cynthia Lummis, SEC chair Paul Atkins, Republican Commissioner Hester Peirce, and advisors like Elon Musk and commerce secretary nominee Howard Lutnick.
Confidence is growing that digital asset-friendly regulation is on its way with the US Securities and Exchange Commission’s new task force. The task force will collaborate with the Commodity Futures Trading Commission to develop a regulatory framework for crypto assets, focusing on easing regulatory burdens, creating a crypto-friendly regulatory framework, capital formation, and investor protection.
Lee A. Schneider, General Counsel at Ava Labs, expressed excitement about the executive order’s impact on the blockchain and crypto world, including regulatory proposals that are yet to take shape.
Currently, digital assets are regulated in various areas in the US, as detailed in the table from Chapter 21, page 152, of the book “Sustainably Investing in Digital Assets Globally” by Selva Ozelli Esq, CPA.
