SEC Task Force Fuels New Crypto Optimism As Industry Awaits Trump Actions


A new SEC cryptocurrency task force announced on Donald Trump’s second day in office helped stoke investor enthusiasm for digital assets as the crypto world awaited the new president’s executive orders.

The goal of the SEC’s “crypto working group” is to help the US regulator “draw clear regulatory lines, provide realistic pathways for registration, craft rational disclosure frameworks and deploy enforcement resources with discretion,” according to the SEC.

The price of bitcoin (BTC-USD), the world’s largest cryptocurrency, rose above $106,000 on Tuesday after slipping on Monday following Trump’s inauguration.

The SEC clashed repeatedly with some of the biggest players in the crypto world during Joe Biden’s time in office. Trump promised to replace Biden’s SEC chief, Gary Gensler, with someone more pro-industry.

His pick, Paul Atkins, is still seeking confirmation in the Senate, and SEC Commissioner Mark Uyeda leads the agency as acting chairman.

Industry executives are testing Trump’s new SEC with new applications this week for exchange-traded funds that, if approved, would give investors even more exposure to various crypto assets.

On Tuesday, Rex Shares and Osprey Funds jointly filed seven separate applications to launch crypto-related ETFs, including those holding shares of XRP, SUNDogecoin (DOGE), and the president’s official memecoin (TRUMP). Last year, the SEC allowed BlackRock and other giant money managers to launch spot bitcoin ETFs.

“We’re certainly anticipating a more welcoming approach from the SEC, and you’ll see more product filings from us,” said Matthew Sigel, head of digital asset research at asset manager VanEck, one of the managers authorized to issue spot bitcoin ETFs in 2024.

A slight disappointment for the industry so far this week is that Trump, who by 2024 has pledged to make America the “crypto capital of the planet“— ended his first day in office without mentioning crypto or issuing any executive orders aimed at the industry. Many in the industry still expect those orders to pass.

“The market is absolutely disappointed that there was no activity on the crypto front yesterday,” Dan Hughes, chief technology officer and founder of crypto startup Radix, said in emailed comments.

“Any executive order positively targeting crypto, however minor, would turn the tide pretty quickly,” Hughes added.

One immediate action the new president could have taken is to repeal Biden’s own March 2022 executive order on crypto assets, which urged regulators to “take strong action to reduce the risks that digital assets could pose.”



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