President-elect Donald Trump’s Proposed Crypto Advisory Council and Strategic Bitcoin Reserve
President-elect Donald Trump is planning to establish a “Crypto Advisory Council” to oversee the creation of a “Strategic Bitcoin Reserve,” as reported by Reuters on Nov. 21, citing insider sources.
Unprecedented Move in the Crypto Sector
The formation of a dedicated crypto council under a presidential advisory council would be unprecedented, showcasing the rapid evolution of the sector since the inception of Bitcoin in 2008.
Urgency Emphasized by Industry Leaders
Kristin Smith, CEO of the Blockchain Association, highlighted the urgency of forming the council, suggesting that it could be done swiftly by President Trump.
Council’s Role and Potential Members
The council’s responsibilities will include advising on crypto policy and collaborating with Congress on crypto legislation. Major US-based companies like Coinbase, Paradigm, a16z, Ripple, Kraken, and Circle are vying for seats on the council.
Excitement in the Crypto Community
The anticipation of Trump’s pro-crypto stance has already led to a surge in Bitcoin prices, reaching a new all-time high of $99,100 on Nov. 21.
The Growing Support for a Bitcoin Reserve
Satoshi Act Fund founder Dennis Porter is in talks to introduce legislation in Texas for a “Strategic Bitcoin Reserve,” following Pennsylvania’s similar initiative with a $7 billion fund.
Trump’s Pro-Crypto Promises
During his campaign, Trump expressed support for the crypto industry and promised to create a BTC reserve in the US Treasury, a move backed by pro-crypto politicians like Senator Cynthia Lummis.
Policy and Oversight Mechanisms
The council is expected to work closely with regulatory agencies like the SEC, CFTC, and Treasury to develop crypto policies and enhance enforcement efforts. There are discussions about creating a “crypto czar” role to lead the council.
Ethical Concerns and Industry Involvement
Critics warn against allowing the crypto industry to heavily influence policymaking, citing potential conflicts of interest. However, industry leaders argue that experienced voices are essential for effective regulation.
In conclusion, Trump’s proposed Crypto Advisory Council and Strategic Bitcoin Reserve aim to solidify the US’s position in the evolving crypto landscape, with a focus on policy development, oversight, and ethical considerations.
