Trump’s Executive Actions on Crypto and AI
In a significant move for the cryptocurrency and artificial intelligence sectors, President Donald Trump has signed executive actions aimed at bolstering these emerging industries. The announcement comes as part of his broader strategy to advocate for digital assets and technological innovation in the United States. Accompanying Trump during the signing was David Sacks, a prominent venture capitalist and the White House’s designated czar for AI and cryptocurrency. This collaboration signals a commitment to shaping policies that could influence the future of these industries.
Formation of a New Working Group
The executive order concerning cryptocurrency establishes a working group that will advise the White House on digital asset policies. This group will include representatives from key federal agencies, such as the Treasury Department, Justice Department, Securities and Exchange Commission, and the Commodity Futures Trading Commission. Their primary responsibility will be to submit a comprehensive report to the president within six months. This report will recommend a regulatory framework and legislative proposals for the cryptocurrency sector. One of the intriguing aspects of this initiative is the evaluation of creating a national digital asset stockpile.
Kara Calvert, the vice president for US policy at Coinbase Global Inc., expressed optimism about the order. She noted that having a president who embraces digital assets is a significant shift. The creation of an advisory council that recognizes the need for non-government expertise is particularly exciting for industry stakeholders. However, the reaction from the broader crypto community has been mixed. Some Bitcoin advocates were disappointed that the executive order did not prioritize Bitcoin as a central component of a national reserve, a concept that had gained traction during Trump’s campaign.
Mixed Reactions from the Crypto Community
The announcement of the executive actions has elicited a range of responses from the cryptocurrency community. While some view the formation of the working group as a positive step, others express disappointment over the lack of emphasis on Bitcoin. Zaheer Ebtikar, founder of the crypto fund Split Capital, highlighted the disparity between the expectations of crypto enthusiasts and the reality of the executive order. He pointed out that even the idea of the US government purchasing Bitcoin would have significant implications for the global market. The notion of evaluating a potential national digital asset stockpile is seen as overly optimistic by some in the community.
Following the announcement, Bitcoin experienced a slight decline, dropping around one percent to approximately $102,750. Despite this, the cryptocurrency has seen a remarkable surge of over 50% since Trump’s election. David Sacks emphasized the importance of these actions, stating that they aim to position America as the world capital for cryptocurrency under Trump’s leadership. He also mentioned that the artificial intelligence initiative would enable the US to lead globally in AI technology.
Trump’s Commitment to the Crypto Industry
Trump’s executive order represents a significant step toward fulfilling his campaign promises to support the cryptocurrency industry. During his campaign, he pledged to streamline regulations, appoint crypto-friendly figures to oversee the industry, and establish a stablecoin framework. He has already made progress on some of these commitments by selecting agency heads who are supportive of cryptocurrency. Additionally, Trump’s decision to pardon Ross Ulbricht, the creator of the Silk Road website, garnered considerable support from the crypto community.
This shift in Trump’s stance on digital assets is noteworthy. In the past, he expressed skepticism about cryptocurrencies, but he has since embraced the industry. He has engaged with crypto executives and enthusiasts, even launching his own crypto projects. Last year, Trump released a collection of non-fungible tokens (NFTs) featuring his likeness and announced plans for World Liberty Financial, a project aimed at enabling users to earn and borrow cryptocurrency. His recent foray into meme coins has also attracted significant attention, with these coins achieving billions in market capitalization.
Political Implications and Future Prospects
The executive order not only marks a pivotal moment for the cryptocurrency and AI sectors but also reflects the increasing political involvement of the crypto industry. In the last election cycle, the industry made substantial political contributions, indicating its growing influence. As Trump continues to advocate for these technologies, the potential for regulatory changes and new legislative frameworks could reshape the landscape for digital assets in the United States.
Observer Voice is the one stop site for National, International news, Editor’s Choice, Art/culture contents, Quotes and much more. We also cover historical contents. Historical contents includes World History, Indian History, and what happened today. The website also covers Entertainment across the India and World.
Follow Us on Twitter, Instagram, Facebook, & LinkedIn