Outside Source
President-elect Donald Trump’s team is reportedly in discussions with cryptocurrency leaders about regulatory changes that could reshape the U.S. approach to digital assets.
According to sources, Trump plans to adopt a more lenient regulatory stance to fulfill his campaign promise of making the U.S. the “crypto capital of the planet.”
Crypto-Friendly Appointments
The Washington Post recently reported that Trump’s transition team is considering various crypto-friendly candidates for key financial regulatory positions such as the Securities and Exchange Commission (SEC), Commodity Futures Trading Commission (CFTC), and Federal Deposit Insurance Corporation (FDIC).
The names reportedly under consideration for these bodies include Daniel Gallagher, a former SEC official now at Robinhood; Hester Peirce and Mark Uyeda, current Republican agency commissioners; and Paul Atkins, a former commissioner.
Trump’s team has also reportedly engaged with crypto firms to establish a new presidential council on digital currencies. These appointments are crucial, as the leaders of various agencies under Trump will have the authority to decide whether cryptocurrency will become a more integrated and formalized element of the financial system.
Following Trump’s victory, a16z projected a regulatory environment more conducive to the cryptocurrency industry. The venture capital firm believes this shift could turn most crypto tokens into “legitimate and lawful” financial tools.
Meanwhile, some Democrat lawmakers warn that loosening regulations could increase risks of fraud, manipulation, and instability, citing the 2022 FTX collapse as a cautionary example.
Executive Orders and SEC Overhaul
Trump’s administration is also exploring the possibility of using executive orders to clarify federal agencies’ roles in overseeing cryptocurrency. These actions would streamline the regulatory framework, creating clearer guidelines on issues such as certain digital assets being considered securities.
Meanwhile, the SEC’s leadership has been a point of contention under Chairman Gary Gensler. Trump’s unit is considering replacing him, and he previously claimed he would “fire” the SEC chair after he takes over in January.
Gensler’s tenure has been marked by high-profile legal battles with major crypto exchanges like Coinbase, Kraken, and Binance, which face allegations of failing to comply with federal registration laws.
“His days are numbered,” said Brad Garlinghouse, the CEO of Ripple, adding that the company has “been in touch” with the Trump transition team. He also expressed his belief that the incoming administration intends to continue focusing on the crypto sector.
Karoline Leavitt, a spokeswoman for the Trump transition, stated that the American people had reelected him by a decisive margin, giving him the mandate to fulfill his campaign promises. She added that he would deliver on those promises.
This article first appeared at CryptoPotato
