Since Donald Trump won the 2024 election, he has quickly appointed congressional supporters, donors, friends, and even family members to cabinet and other key positions. Some will be confirmed through Senate hearings, while others are in organizations specially created by Trump. Who among them will influence the future direction of crypto policy?
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ToggleAI Crypto Czar David Sacks
Trump has specially created the White House position of AI Crypto Czar, responsible for AI and crypto-related policies, and coordinating federal policies and government applications in emerging technologies. Trump emphasized that the US needs to solidify its global leadership in these two areas, and his appointee David Sacks will be an important driver in achieving this goal.
In addition to serving as the White House AI Crypto Czar, Sacks will also lead the Presidential Council of Advisors for Science and Technology, which also reflects the Trump team's emphasis on the development of emerging technologies. In the future, Sacks will communicate and coordinate policies between the White House, Congress, and relevant regulatory agencies, including working with the SEC and CFTC.
Like Musk's DOGE, Sacks will enter the Trump team as a "special government employee", working up to 130 days per year, without the need to report or sell personal assets, but will need to recuse himself from issues involving his own interests.
Sacks was previously an important fundraiser for Trump's Silicon Valley activities, and also has a deep cooperative relationship with Vice President-elect J.D. Vance. Sacks was a member of the "PayPal Mafia" and is a well-known venture capitalist in Silicon Valley, with his own venture capital firm Craft Ventures having previously invested in companies like Airbnb, SpaceX, and Coinbase.
Treasury Secretary Scott Bessent
Trump has nominated Scott Bessent, the head of the hedge fund Key Square Group, to be the next US Treasury Secretary, saying he will help usher in a new golden age for America and solidify the US's position as the world's leading economy.
Bessent spent part of his career managing funds for billionaire George Soros. He was a member of the team led by Stan Druckenmiller, which made $1 billion shorting the British pound in 1992 - a bet that forced the UK to withdraw from the European Exchange Rate Mechanism and made Soros famous as the "Man Who Broke the Bank of England". In 2015, Bessent founded Key Square, focusing on macro investments leveraging geopolitical and economic trends.
Bessent is expected to play a key role in pushing Congress to extend Trump's 2017 tax cut plan, much of which is set to expire at the end of 2025. His familiarity with Wall Street and his moderate approach have also won favor in the financial markets.
The Treasury Secretary also oversees the Financial Stability Oversight Council, a group formed after the financial crisis. Under the outgoing Treasury Secretary Janet Yellen, the FSOC has begun to focus on climate change issues, which has drawn criticism from Republicans who are cautious about banks incorporating climate into lending or capital decisions.
The FSOC under Yellen's leadership has also recommended strengthening stablecoin regulation, with the Fed likening stablecoins to bank deposits and money market funds, and calling for more regulation. Trump's crypto initiatives during the campaign may make the new Treasury Secretary's stance a focus of attention.
SEC Chair Paul Atkins
Although the SEC Chair's term is not tied to the President's term, Trump, who had repeatedly mentioned firing the current Chair Gary Gensler during the campaign, has forced Gensler to announce that he will step down as SEC Chair by the time Trump takes office (January 20, 2025).
Trump has immediately appointed Paul Atkins as the next Chair, who served as an SEC Commissioner from 2002 to 2008. Prior to his SEC Commissioner role, Atkins was a Wall Street lawyer focused on various corporate transactions, including public and private securities offerings and mergers and acquisitions. He also joined Trump's business forum in 2016 to provide strategic and policy advice on economic issues.
Atkins is currently the CEO of Patomak Global Partners, a firm that provides consulting services to the financial services industry, covering areas such as regulatory compliance, risk, and crisis management. He is also the co-chair of the Token Alliance, an industry-led initiative overseen by digital trade associations, aimed at providing critical resources for tokenized networks and applications. It is expected that the new Chair's appointment will lead to a relaxation of crypto-related regulations. He will also work closely with AI Crypto Czar David Sacks to jointly promote the compliance path for cryptocurrencies.
Who Else in Trump's Cabinet Supports Crypto
Additionally, the new Commerce Secretary Howard Lutnick, although his authority is not closely related to cryptocurrencies, is the CEO of the US financial services firm Cantor Fitzgerald, which is the custodian for the stablecoin issuer Tether. Lutnick has endorsed Tether's asset reserves and is also optimistic about the development of stablecoins and RWAs.
Robert F. Kennedy Jr., who will be appointed as the Secretary of Health and Human Services, is also a supporter of Bitcoin. In April, he proposed putting the government budget on-chain, calling for a blockchain-based transparency overhaul of the federal budget.
Trump's good friend, Elon Musk, who is also the driving force behind the Department of Governmental Efficiency (DOGE), is a crypto influencer. Tesla, owned by Musk, bought Bitcoin in 2021 and is estimated to still hold 11,509 Bitcoins.
