Faryar Shirzad, Coinbase's policy chief, was interviewed recently and stated that Trump's successful election also means that crypto-related regulations are expected to be quickly pushed through Congress. Shirzad believes that with the Republican Party controlling the White House and the US Congress, this will pave the way for crypto legislation, giving the nearly 50 million Americans who own crypto assets a stronger voice.
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ToggleRepublican Party's full control, accelerating the legislative process
Shirzad stated that the Republican Party's successful takeover of the White House, the Senate, and the House of Representatives has laid a good foundation for crypto legislation. He described this as the "most crypto-friendly Congress in US history", and with Trump's support, there is hope that related bills can be pushed through quickly, allowing the voices of American crypto holders to be heard in the future.
FIT21 and the Stablecoin Regulation Act are the focus of legislation
There are currently two important crypto bills progressing in Congress:
- The Financial Innovation and Technology Act of the 21st Century (FIT21): Proposed by the Republican Party, with the goal of establishing a legal framework for digital assets. FIT21 has already passed the House of Representatives.
- The Stablecoin Regulation Act: Aims to establish regulations for stablecoin issuance, ensuring that issuers hold the necessary licenses. It has not yet been voted on in the House of Representatives.
Shirzad expressed optimism about the passage of these bills, expecting to see significant progress in 2025. He also acknowledged that the likelihood of passing them during the "transition period" in 2024 is relatively low.
The Trump administration's support for cryptocurrencies and personnel arrangements
Trump's election is a highly encouraging event for the crypto market and the industry, especially as he will be formulating a crypto-friendly regulatory framework. Shirzad stated that Trump had previously promised to fire the current SEC chairman, Gary Gensler, on his first day in office on January 20th, which has energized the industry.
Shirzad said he could not predict the new chairman's selection, but he believes Trump will choose someone with a "reformist spirit" and aligned with Trump's vision, which would be good for the crypto industry and the US economy.
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The lobbying power in the crypto domain should not be underestimated
Trump's victory not only indicates the future direction of crypto policy, but also reflects the lobbying power in the crypto domain. Crypto-related political action committees (PACs) raised over $245 million during the election period and, through the rating system of the crypto advocacy organization Stand With Crypto supported by Coinbase, helped voters understand the positions of congressional candidates on cryptocurrencies.
According to Stand With Crypto's statistics, around 300 pro-crypto legislators will enter the new US Congress, strengthening policy support for the crypto industry. Shirzad believes that the future political landscape will drive the US to lead the world in crypto regulation, benefiting all American crypto holders.
