Will this be Trump’s first action to appease the crypto community? 
Cryptocurrency Nov 6, 2024 Share
The cryptocurrency community’s attention is on President-elect Donald Trump and whether he will keep his promises to make the United States a hub for digital asset innovations.
Some of Trump’s promises include firing Securities and Exchange Commission (SEC) Chairman Gary Gensler, stopping the U.S. government from selling Bitcoin (BTC), establishing a strategic Bitcoin reserve, and supporting a comprehensive cryptocurrency policy.
Donald Trump’s promises to the crypto sector. Source: Wu Blockchain
To this end, Axios crypto reporter Brady Dale has suggested that Trump’s first significant move may involve appointing a new SEC chair to replace Gensler with a more crypto-friendly individual, he said during an interview with Yahoo Finance.
Picks for you
Analyst sets Dogecoin roadmap to $4 amid Elon Musk’s support to Trump 5 hours ago Why gold price is crashing 7 hours ago AI predicts S&P 500 index for year-end 8 hours ago Trader turns $18M into $29M betting on Donald Trump’s victory 9 hours ago
“I think the first thing is probably he is going to get a new SEC chair. Someone who won’t be quite so hostile in the industry isn’t going to sue all of the best companies in the space,” Dale said.
Gensler criticism
This projection follows criticism of the SEC chair under the Biden administration, where the regulator faced backlash from crypto advocates for its aggressive enforcement, leading to lawsuits against several prominent companies.
If Trump removes Gensler, it could signal a major shift in the regulatory landscape for digital assets. This change might ease pressure on businesses subjected to harsh regulations.
Indeed, the crypto community has viewed the SEC case against Ripple as symbolic of the regulator’s strict stance on the industry.
In this line, Paul Grewal, chief legal officer at cryptocurrency exchange Coinbase, is pushing for reforms at the SEC following Trump’s re-election. The exchange is among the entities that have faced litigation from the regulator.
I hope @SECGov understands what has happened tonight. On many, many issues, the voters said loud and clear that they want change. Crypto is no exception.
Stop suing crypto. Start talking to crypto. Initiate rulemaking now. There's no reason to wait.
— paulgrewal.eth (@iampaulgrewal) November 6, 2024
Additionally, Dale noted that Trump’s appointee could focus less on litigation and more on creating an environment where U.S.-based crypto companies can thrive.
Trump’s other crypto sector promises
As part of his promise to the mining sector, Dale indicated that achieving full Bitcoin mining dominance in the U.S. may be challenging. However, Trump’s support for increased mining could be a welcome boost for American miners who have faced regulatory uncertainty.
Dale also envisions Trump implementing his promise not to sell all government-held Bitcoin as a first step toward making BTC part of the U.S. reserve.
At the same time, attention is on whether Trump will pardon Ross Ulbricht, the creator of the Silk Road dark web marketplace. There have been concerns in the crypto community over Ulbricht’s life sentence, which some consider excessive.
Meanwhile, not all market players believe Trump will fulfill his promises to the crypto market. As reported by Finbold, economist Peter Schiff cautioned the crypto community against anticipating that Trump will honor these promises.
In the meantime, the crypto market has surged following Trump’s re-election, with Bitcoin hitting a new high above $75,000. As of press time, the asset was trading at $74,696, up over 6% for the day.
Featured image via Shutterstock