A Whirlwind Week in Crypto and Politics
Ron Hammond, the Director of Government Relations at the Blockchain Association, recently shared a series of insightful posts on the evolving dynamics between cryptocurrency and the incoming Trump administration. He highlighted that while the past week may have seemed tumultuous, the journey for cryptocurrency in Washington, D.C. is just beginning.
Upcoming Announcements from the Trump Administration
With the transition to a new administration, key announcements are anticipated that will reveal President-elect Trump’s approach to cryptocurrency. Although Trump may express pro-crypto sentiments, the actual implementation of policies will heavily depend on the agency heads and administrative staff he appoints.
Key Positions Awaiting Announcements
Significant roles at the Treasury, Securities and Exchange Commission (SEC), banking regulators, and the Commodity Futures Trading Commission (CFTC) remain unannounced. Hammond pointed out that many rumored candidates are favorable towards cryptocurrency, yet he urged caution until formal declarations are made.
The Prospect of a Crypto Role in the White House
An intriguing development is Trump’s promise to establish a dedicated crypto role within the White House or an advisory council. If realized, this would mark a pioneering step in explicitly integrating cryptocurrency into U.S. policy-making, with early hires likely to define these roles.
Strategic Planning for Crypto Prioritization
Trump’s team has been meticulously evaluating potential staff and agency heads for months, aiming to initiate their administration with a full GOP majority. Cryptocurrency appears to be a significant priority on their agenda, with these roles pivotal in shaping the direction of agencies, the White House, and supporting Congress in the coming year.
Addressing Policy and Legal Challenges
Hammond explained that while it is challenging to address all policy and legal issues related to cryptocurrency within a limited timeframe, some can be managed through executive orders or changes in agency leadership. Nonetheless, fundamental issues like market structure necessitate new legislation, a process that will require time and bipartisan cooperation.
Potential Picks and Legislative Prospects
Several potential candidates for agency positions and administrative roles bring industry expertise or a positive stance towards cryptocurrency. However, the developments during the lame-duck session must be closely monitored. Although crypto legislation has not yet been finalized in Congress, significant progress has been made on stablecoin regulation and market structure, overcoming numerous obstacles.
The Role of Congress and Bipartisan Progress
The current administration has been a primary barrier to legislative advancements, yet there remains a possibility for positive bipartisan developments in crypto from Congress this year. If not, we can anticipate seeing these bills introduced by mid-next year. Hammond emphasized that the recent elections were favorable for crypto, with pro-crypto candidates winning across both parties.
Looking Forward to a Pro-Crypto Congress
As the legislative session resets in January, the cryptocurrency community can look forward to engaging with one of the most pro-crypto Congresses in history, creating an optimistic outlook for the future of cryptocurrency policy and development in the United States.
