U.S. Crypto Policy Takes a Historic Turn Under Trump Administration

Washington pivots on digital assets—regulatory barriers crumble as new executive orders reshape the landscape.

The Policy Shift

Forget the old playbook. The administration just bypassed years of legislative gridlock with a series of decisive moves. Agencies that once issued warnings are now drafting frameworks for integration.

Market Mechanics in Motion

This isn't just about sentiment—it's about mechanics. Clear rules unlock institutional capital flows that have been sidelined, waiting for the regulatory fog to lift. Traditional finance gatekeepers are scrambling to adapt, a delightful irony for an asset class built to circumvent them.

The New American Stack

The focus shifts from reactive enforcement to proactive architecture. Think digital dollar pilots, revised tax guidance, and a potential green light for crypto-banking charters. The goal? To build the infrastructure, not just police it.

Global Domino Effect

When the U.S. moves, global markets listen. Competing financial hubs from Asia to Europe now face pressure to match this newfound clarity or risk capital flight. The race for digital asset supremacy just entered a new, aggressive phase.

A long-term bullish case for crypto always hinged on legitimacy. Now, the world's largest economy is handing it over—wrapped in red tape, of course, because some Wall Street habits die hard.

Under the President Donald Trump Administration, the U.S. government has taken a markedly different approach toward cryptocurrency. Instead of treating the sector as a regulatory problem or speculative threat, Washington is now moving to integrate crypto directly into the existing financial system. 

According to @tiger_research, the U.S. strategy is not to replace traditional finance with crypto, but to make crypto operate under familiar financial rules and structures.

U.S. SEC Signals New Era of Crypto Regulation

A major shift has occurred at the U.S. SEC. Under former Chair Gary Gensler, crypto regulation relied heavily on enforcement actions against companies like Ripple, Coinbase, and Binance. Clear rules were often missing, with lawsuits taking priority over guidance.

After Gensler’s exit, this approach changed. Under new leadership, the SEC introduced, aiming to clearly define which digital tokens qualify as securities. According to tiger_research, this signals a MOVE away from regulation through lawsuits toward a structured regulatory framework, an important step for the crypto industry’s long-term growth.

CFTC Embraces Crypto as Collateral

The Commodity Futures Trading Commission (CFTC) has also expanded its role. It formally recognized Bitcoin and ethereum as commodities and approved them, alongside USDC, for use as collateral in derivatives markets.

Through its Digital Asset Collateral Pilot Program, the CFTC applied traditional risk controls like haircuts, treating crypto assets similarly to conventional financial collateral. This signals a deeper level of institutional trust and positions crypto as functional financial infrastructure, not just speculative assets.

OCC Opens the Banking Door

Perhaps the most structural shift came from the Office of the Comptroller of the Currency (OCC). Previously, crypto firms were locked out of federal banking oversight and forced to navigate state-by-state licensing.

That changed in late 2025, when the OCC conditionally approved national trust bank charters for firms such as Circle and Ripple. This move puts major crypto companies on equal footing with traditional banks, allowing nationwide operations and direct settlement without intermediary banks.

Stablecoins Get Legal Clarity

Congress also delivered long-awaited clarity through the GENIUS Act, which set strict rules for stablecoin issuers. The law mandates 100% reserve backing, bans rehypothecation, and assigns federal oversight. As the analyst notes, this effectively transforms stablecoins into legally recognized digital dollars.

Why This Matters for Crypto

This past year shows the U.S. is not banning crypto, nor fully deregulating it. Instead, it is absorbing crypto into its financial core. Regulatory debates still exist, especially around privacy tools like Tornado Cash, but those tensions reflect institutional checks rather than policy reversal.

For crypto markets, Bitcoin’s 2025 run under Trump was volatile but constructive. BTC surged above $109,000 early in the year on pro-crypto Optimism and regulatory clarity, then sold off sharply after Trump’s tariff announcements hit risk markets. 

Despite the pullback, adoption kept rising through state reserves and corporate Bitcoin treasuries, helping BTC recover and rally again. After the Fed cut rates in September, Bitcoin surged to a new all-time high near $125,800 in October, with bullish macro conditions reviving upside expectations.