Crypto companies like Ripple, Kraken, and Circle are competing to secure a seat on the promised cryptocurrency council of President-elect Donald Trump.
Trump announced plans for a cryptocurrency council at the 2024 Nashville Bitcoin Conference. He promised to overhaul U.S. cryptocurrency policy and bring notable changes to the regulatory system during his campaign.
Ripple, Coinbase, Circle leaders eye cryptocurrency council
According to a report by Reuters, Coinbase CEO Brian Armstrong recently met with Trump, but the details of their discussion are unclear. Circle's CEO Jeremy Allaire, and venture firms like Paradigm and a16z's cryptocurrency division are also seeking representation.
The council could operate under the White House National Economic Council or as a standalone entity. It is expected to include industry leaders, policymakers, and possibly executive representatives. Trump's team is considering a "crypto czar" role to lead the council. Potential candidates include former CFTC chairman Chris 'Crypto Dad' Giancarlo, David Bailey, and Riot Platform's public policy lead Brian Morgenstern.
The council's responsibilities could include establishing a Bitcoin reserve, based on the Bitcoin ACT bill proposed by U.S. Senator Cynthia Lummis. This bill aims to create a digital equivalent of the U.S. gold reserve. JP Morgan analysts have said this is unlikely, but recent developments present new optimism.
However, assuming everyone agrees with this proposal would be bold. Some have argued that including industry players as stakeholders is problematic. Here's a new perspective:
"If Trump actually establishes a cryptocurrency advisory council, it should not include people from the cryptocurrency industry itself. Given their extremely biased views, it should instead be composed of experts who do not own Bitcoin, so they can make objective recommendations," wrote financial analyst Peter Schiff on X (formerly Twitter).
Broad choices for policy leaders
After Trump promised SEC reform, current SEC Chair Gary Gensler announced his resignation on Thursday. His 4-year term is set to end in January 2025, before Trump's inauguration. Rumors are circulating about three potential successors.
Among the candidates is SEC Commissioner Hester Peirce, known for supporting cryptocurrency innovation and criticizing over-regulation. Another SEC Commissioner, Mark Uyeda, with extensive experience in securities regulation, is also being considered.
Former SEC Commissioners Paul Atkins, who supports deregulation, and Brian Brooks, former Binance.US CEO, are also being evaluated. These candidates are focused on reevaluating the regulatory approach to digital assets.
In response to these rumors, the Crypto Council for Innovation (CCI) has offered an optimistic outlook:
"From 2025, the U.S. will finally catch up. The EU is waking up and moving on its own. The future of crypto has never looked brighter," the Crypto Council for Innovation (CCI) wrote on X (formerly Twitter) in a post.
Overall, the U.S. crypto community is experiencing a momentous period with a promising regulatory outlook. Trump's cryptocurrency council is expected to establish a Bitcoin reserve. His media company is also reported to be launching a 'TruthFi' cryptocurrency payment service.
