- Throughout his presidential campaign, Donald Trump made a number of promises with regard to the crypto sector
- These promises included creating a strategic Bitcoin reserve, reducing the sentence of Ross Ulbricht and firing SEC Chair Gary Gensler
- We break down Trump’s ten promises for posterity
Newly re-elected U.S. president Donald Trump has made ten promises related to Bitcoin and cryptocurrencies during his successful attempt to regain the presidency. This secured him the support of a huge majority of the crypto space, but we will have to wait until at least January 10, 2025, to see if he sticks to any of them. We break down these promises here and will refer back to them as his tenancy in charge of the world’s most powerful nation progresses.
- Make the United States the world’s cryptocurrency capital
Donald Trump aims to position the U.S. as the global leader in cryptocurrency, likely by fostering innovation-friendly regulation, encouraging investment, and establishing a supportive infrastructure for digital assets. This would involve creating an environment where crypto companies and investors feel welcomed, ensuring the U.S. stays competitive in the rapidly growing global crypto market.
- Fire SEC Chair Gary Gensler
The Securities and Exchange Commission (SEC), under Gary Gensler’s leadership, has been strict with cryptocurrency regulations, enforcing numerous lawsuits against crypto firms. Trump proposes replacing Gensler with someone who may take a more crypto-friendly approach, reducing regulatory pressure on the industry.
- Establish a strategic Bitcoin reserve
Trump suggests creating a federal Bitcoin reserve, possibly treating Bitcoin similarly to gold in terms of value storage. This reserve could be seen as a hedge against inflation or a means to diversify U.S. financial reserves, signaling the country’s confidence in Bitcoin’s value.
- Prevent the U.S. from selling its Bitcoin holdings
This policy would ensure the government retains any Bitcoin it acquires, whether through seizures or purchases, to potentially benefit from its long-term appreciation. It indicates a belief in Bitcoin’s future value and aims to avoid premature liquidation.
- Halt further U.S. government development of a CBDC
Trump opposes the development of a U.S. Central Bank Digital Currency (CBDC), which some fear could give the government excessive control over citizens’ financial transactions. Halting CBDC development would align with a more decentralized financial philosophy and protect private financial autonomy.
- Propose a comprehensive cryptocurrency policy
Trump intends to introduce a clear regulatory framework for cryptocurrencies. A well-defined policy could reduce legal ambiguity, make it easier for crypto businesses to operate, and help consumers understand their rights and responsibilities within the crypto space.
- Cease hostilities against cryptocurrency within an hour of taking office
Trump promises an immediate shift in the government’s stance on crypto, pledging to halt aggressive enforcement actions and possibly reversing regulations perceived as anti-crypto. This would likely provide immediate relief to the industry and signal a new era of cooperation.
- End the U.S. government’s unlawful crackdown on the crypto industry
Trump criticizes the current administration’s “crackdown” on crypto firms, describing it as unlawful or overly restrictive. Ending these actions would involve reassessing the regulatory approaches that have led to fines and lawsuits, aiming for a more collaborative regulatory relationship.
- Recommend using cryptocurrency to address U.S. debt issues
Trump proposes exploring ways to leverage cryptocurrency to help reduce the national debt, possibly by using it as an investment tool or as a means of restructuring financial obligations. This would be an unconventional approach and would require extensive planning and risk assessment.
- Reduce the sentence of Silk Road founder Ross Ulbricht
Ross Ulbricht, founder of the darknet marketplace Silk Road, received a life sentence for his role in facilitating drug trafficking through Bitcoin. Trump’s proposal to reduce Ulbricht’s sentence could appeal to libertarians and crypto enthusiasts who view his punishment as disproportionately harsh, especially in light of Bitcoin’s legitimate use cases today.
