- Bitcoin rallies to $94,500 after reports surface of Trump’s plans to sign pro-crypto executive orders on his first day in office.
- These orders could overturn key rules, including the SEC’s SAB 121, which critics say has held back crypto-friendly banking.
- The market reacts quickly, with Ethereum climbing back over $3,100, and other altcoins seeing gains.
Bitcoin has bounced back to $94,000, with excitement building around reports that Donald Trump is ready to sign pro-crypto executive orders as soon as he takes office.
The news, first reported by The Washington Post, has the crypto community buzzing. Trump’s rumored orders are expected to tackle key issues like crypto banking restrictions and overturn the controversial SAB 121 regulation — a rule that has made it difficult for banks to hold cryptocurrencies for customers.
Trump’s Crypto-Friendly Plans
If these reports are accurate, Trump’s first-day plans could be a game-changer for the crypto industry. The SAB 121 regulation, introduced by the SEC, forces companies holding crypto for clients to record those assets as liabilities, making it more expensive and risky for banks to offer crypto-related services.
https://twitter.com/zGuz/status/1878924477867950223
Crypto journalist Zack Guzmán shared his thoughts on the matter:
“The SEC has been lifting SAB 121 for select banks, but not widely enough. It’s held the industry back. Trump looks ready to change that.”
This regulation has been a major point of contention. Lawmakers tried to repeal it last year, but President Biden vetoed the measure, despite bipartisan support. Trump’s team is reportedly gearing up to revisit the issue immediately after the inauguration.
https://twitter.com/Julian__Fahrer/status/1878917308242186698
In addition to addressing SAB 121, Trump’s orders may also target what many in the industry describe as “de-banking” practices — rules and restrictions that have prevented banks from working with crypto businesses.
Crypto Markets Respond
The crypto market wasted no time reacting to the news. After dipping to $89,000 earlier in the day, Bitcoin quickly surged back to $94,500.
https://twitter.com/Cointelegraph/status/1867518577785680234
Ethereum also rebounded, climbing back above $3,100, while other cryptocurrencies followed suit. Notably, AAVE, which is linked to the Trump-supported World Liberty Financial (WLFI) project, jumped 5% within an hour of the news.
This rally reflects growing optimism that Trump’s presidency could bring more clarity and support to the crypto space.
What’s Next for Crypto Under Trump?
https://twitter.com/Cointelegraph/status/1879087307288166764
Trump’s rumored plans don’t stop at SAB 121. Reports suggest his administration is exploring broader changes, including:
- Merging banking regulators to simplify oversight.
- Restructuring the FDIC to make banking policies more crypto-friendly.
- Appointing David Sacks as the first-ever Crypto Czar, a move that signals serious focus on digital assets.
Even before taking office, Trump’s pro-crypto stance is already drawing attention. Major crypto firms like Ripple, MoonPay, and Kraken have contributed to his inauguration events, potentially positioning themselves to influence future policy decisions.