Economy

Trump to Make Cryptocurrency a National Priority with New Advisory Council

President-elect Donald Trump plans to issue an executive order designating cryptocurrency as a national priority. The order will create a crypto advisory council, giving industry insiders a formal voice in shaping U.S. policy. This move, along with discussions about a federal Bitcoin reserve and the rise of stablecoins, highlights the growing significance of cryptocurrency in the national economy.

In a groundbreaking move, President-elect Donald Trump is preparing an executive order to designate cryptocurrency as a national priority, sources close to the administration have revealed.

The forthcoming order is expected to instruct government agencies to collaborate with the crypto industry, recognizing it as a vital part of the U.S. economy. It will also establish a cryptocurrency advisory council, empowering industry leaders to advocate for their policy priorities within the administration.

Strategic Bitcoin Reserve and Economic Implications

This initiative coincides with a proposal from the cryptocurrency industry to create a federal Bitcoin stockpile. Advocates suggest that the government could leverage its holdings to manage national debt, sparking debates on whether to hold onto $19 billion worth of seized Bitcoin or acquire additional reserves.

While some executives urge Trump to secure existing Bitcoin assets via an executive order, others are pushing for the establishment of a new strategic reserve akin to gold or oil stockpiles. However, such an ambitious plan may require congressional approval due to the financial scale involved.

Stablecoins Gain Mainstream Momentum

Meanwhile, stablecoins—cryptocurrencies pegged to assets like the U.S. dollar—are rapidly gaining traction in the retail and payment sectors. Major brands, including Overstock, Chipotle, and Whole Foods, now accept stablecoins, and platforms like Stripe and Travala are integrating USD Coin (USDC) into their payment systems.

Chris Colson of the Federal Reserve Bank of Atlanta describes stablecoins as “a universal payment method” that reduces transaction fees, accelerates settlements, and appeals to crypto-savvy customers. With over $200 billion worth of stablecoins now in circulation, their value rivals the GDP of nations like New Zealand or Greece.

A Turning Point for Cryptocurrency Policy

Trump’s executive order could mark a pivotal moment in the mainstreaming of cryptocurrency. By prioritizing collaboration between the government and the crypto industry, the administration aims to foster innovation while addressing regulatory and economic challenges.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button