Emily Walker
In a significant move for the cryptocurrency industry, President Donald Trump has officially signed an executive order to create a national digital asset reserve, fulfilling a commitment made during his recent campaign.
Formation of a Presidential Working Group for Crypto Regulation
As reported by FOX journalist Eleanor Terret, the executive order establishes the Presidential Working Group on Digital Asset Markets. This initiative aims to enhance the United States’ position in the cryptocurrency market.
The group is responsible for crafting a thorough federal regulatory structure for digital assets, particularly focusing on stablecoins, which are increasingly seen as a more stable type of cryptocurrency.
David Sacks, the White House’s AI & Crypto Czar, will lead the Working Group. It will also include the Secretary of the Treasury, the Chairman of the SEC, and other key officials from relevant federal agencies.
New Regulations on CBDCs
A crucial element of this executive order is the mandate for federal bodies to identify current regulations that may be obstructing the advancement of the digital assets market.
The Working Group is expected to consider changes to these regulations, aiming to foster an environment that encourages innovation and economic freedom.
Significantly, the executive order explicitly bans any federal agency from creating, issuing, or endorsing Central Bank Digital Currencies (CBDCs).
Moreover, it revokes previous executive measures from the last administration that were deemed harmful to the growth and innovation of digital assets.
This initiative aims to eliminate obstacles and create a supportive atmosphere for the flourishing of digital finance.
As of now, Bitcoin (BTC) has responded well, achieving a 5% increase over the week and reaching the $105,160 milestone again.
Featured image from DALL-E, with chart data sourced from TradingView.com.