Trump's Crypto Return: What to Expect from a Pro-Crypto US Presidency
Donald Trump's 2025 inauguration as the 47th US President has sparked significant cryptocurrency market volatility and debate. His pro-crypto stance and potential SEC leadership changes could reshape the industry. Key anticipated changes include a SEC review of existing regulations, potentially freezing or revising lawsuits, and fostering public-private dialogue for new crypto-specific rules. A pro-crypto Congressman, Tom Emmer, will lead a digital assets subcommittee, furthering pro-crypto legislation. David Sacks, PayPal co-founder, will be the White House's "crypto czar," overseeing AI and a January 17th "Crypto Ball."
Potential, but unconfirmed, executive orders include creating a more favorable crypto environment and potentially repealing SAB 121, easing banking restrictions for crypto firms. While initial optimism led to Bitcoin reaching $100,000 in late 2024, recent economic data (low unemployment) and slower-than-expected implementation have caused a market downturn. Risks remain, including potential legal challenges to SEC decisions and the time needed to implement new regulations. Despite short-term challenges, some analysts remain bullish on Bitcoin's long-term prospects under Trump, citing potential economic policies that could benefit risky assets. However, others predict a post-inauguration market crash due to investor disappointment, citing concerns about cryptocurrency's use in crime and high energy consumption.