NewsTrump May Sign Executive Order to Ease Bank Involvement in Crypto, Says Circle CEO
Mustafa Mulla21 Jan 20251 min read
Circle CEO Jeremy Allaire believes President Donald Trump is gearing up to make big moves in the crypto world. He expects Trump to issue executive orders soon, allowing banks to trade and hold cryptocurrencies and offer crypto investments to wealthy clients. Trump, who has called himself a “crypto president,” is expected to push for fewer regulations and faster adoption of digital assets.
SAB 121: A Barrier to Crypto Integration
Speaking at the World Economic Forum in Davos, Allaire highlighted this potential shift, which could address longstanding barriers banks face in crypto adoption.
A major challenge lies in the SEC’s Staff Accounting Bulletin (SAB) 121, which prevents banks from keeping crypto on their books. Allaire criticized this rule, calling it “punitive,” as it hinders financial institutions from including cryptocurrencies in their portfolios.
Although Congress once attempted to repeal SAB 121, President Joe Biden vetoed the effort, stating it was necessary to protect consumers.
However, crypto advocates, including Allaire, see the regulation as a barrier to technological progress rather than a safeguard. While Allaire expressed optimism about such a move, though he did not provide a specific timeline.
Circle’s Support for Trump
Circle has shown its support for Trump’s administration, donating $1 million in USDC stablecoin to his inauguration. Despite hopes for a pro-crypto stance, Trump’s inauguration speech focused on topics like immigration and international tariffs, leaving the crypto community disappointed.
During Trump’s inauguration, Bitcoin saw a dramatic surge, hitting an all-time high above $109,000 before settling at $108,528.
