- Trump signs Presidential Executive Orders on Crypto
- Forms Working Group on Strategic National Reserve to acquire cryptocurrencies.
- Bans CBDCs in the US.
Donald Trump has issued executive orders on crypto as promised in his election campaigns. These orders primarily cover these matters:
- Working Group on:
- Governance and Regulation
- Stablecoins
- Strategic National Digital Asset Stockpile
- Ban on Establishing, Issuing, or Promoting Central Bank Digital Currencies (CBDCs)
- Modification and Withdrawing of past orders
- Revokes Biden’s Presidential Orders
- Establishment of US As Global Crypto Capital
Trump’s other pro-crypto actions include a appointing Cynthia Lummis to the Senate Committee on Banking, and appointment of Mark Uyeda as the acting SEC Chairman.
Crypto Working Group
The first point was creating an executive working group which will recommend the appointment of agencies, and regulators to govern the crypto landscape in the USA. These include ordinary digital currency like Bitcoin and also special currencies like Stablecoins.
The working group will be headed by Whitehouse AI and Crypto Czar, David Sacks, former COO of PayPal and investor in Facebook, Palantir, SpaceX, Uber and AirBNB.
Another task of this working group would be to identify the method to create a Bitcoin Strategic Reserve, herein referred as the Strategic National Digital Asset Stockpile. This was an election promise by Trump and was one of the primary drivers of his popularity in the crypto markets.
At present it is speculated that the reserve will not just include Bitcoin but also will stockpile US-based cryptocurrencies like:
- XRP
- Algorand (ALGO)
- Bitcoin Cash
- and others.
Ban on Central Bank Digital Currency
As promised in the 2024 Bitcoin Conference at Nashville, Donald Trump has maintained his commitment towards stopping the establishment of central bank cryptocurrencies or CBDCs.
The Executive Order clearly mentions that no entity in the US shall proceed to establish, issue or promise any CBDC. This effectively stops the creation of CBDCs like the Digital Yuan (China), Digital Ruble (Russia), eNaira (Nigeria) or the eRupee (India).
The Executive Order prohibits agencies from undertaking any action to establish, issue, or promote central bank digital currencies (CBDCs).
–Fact Sheet: Executive Order to Establish United States Leadership in Digital Financial Technology
