Trump Signs Executive Order to Promote Cryptocurrencies and Digital Assets

On January 23, 2025, U.S. President Donald Trump signed an executive order aimed at promoting the development of cryptocurrencies across the country. This significant move may set the groundwork for establishing a national digital asset stockpile.

Joining Trump in the Oval Office for this announcement was venture capitalist David Sacks, who has been appointed as Trump's advisor on cryptocurrencies and artificial intelligence.

The executive order highlights the importance of the digital asset industry, emphasizing its vital role in driving innovation and contributing to the economic growth of the United States, as well as fostering international leadership.

Historically, Trump has had mixed views on cryptocurrency. He was critical during his first term, but during his recent campaign, he embraced the industry and received substantial support from crypto investors. Notably, crypto-related contributions made up a significant portion of corporate donations during the 2024 election cycle.

A core focus of the executive order is to establish guidelines and technology to support the growth of cryptocurrencies in the U.S. A major initiative includes forming a working group tasked with exploring the idea of a national digital asset stockpile. This stockpile may include cryptocurrencies seized by the federal government through law enforcement activities.

Traditionally, the U.S. Marshals Service has conducted auctions of seized bitcoins and other cryptocurrencies. Although the executive order does not specifically mention bitcoin, Trump had previously pledged that his administration would keep all federal bitcoin resources. "If I am elected, it will be the policy of my administration to retain 100% of all bitcoin the U.S. government currently holds or acquires in the future," Trump stated during a keynote address at the Bitcoin Conference in Nashville, Tennessee.

The executive order also addresses other vital priorities for the digital asset space. It aims to protect individuals and private businesses involved with blockchain technology from possible persecution. It underscores the importance of allowing developers and miners to freely create and utilize software, as well as participate in the mining and validating of transactions, which is essential to the security of networks like bitcoin.

Furthermore, Trump has committed to safeguarding the rights of individuals who choose to self-custody their digital assets. This means they control their cryptocurrencies through personal wallets instead of relying on centralized exchanges like Coinbase, which can sometimes fall under government scrutiny.

The order also aims to enhance the prominence of the U.S. dollar by supporting the growth of legitimate, dollar-backed stablecoins on a global scale.

Since his recent election victory, Trump has focused on appointing key figures in government who support the cryptocurrency movement. Paul Atkins has been nominated to lead the Securities and Exchange Commission (SEC). Atkins, a former SEC commissioner, is recognized for advocating market-friendly policies. If confirmed, he will replace Gary Gensler, who has been a contentious figure due to his stringent regulations on cryptocurrencies.

Earlier in the week, the SEC also announced the formation of a new "crypto task force" led by Commissioner Hester Peirce, well known for her strong support of crypto innovation.

In addition to these nominations, Scott Bessent, a hedge fund manager with pro-crypto views, has been chosen to lead the Treasury Department. He recently attended a significant crypto event called the Crypto Ball, which gathered lawmakers, cabinet members, and industry leaders, all focused on reinforcing the U.S. position in digital asset development.

At the event, Sacks assured attendees that "the war on crypto is over," asserting that this is merely the start of America regaining its status as the world's leader in innovation.

WATCH: Trump's latest executive orders

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