Trump’s Day-One Crypto Executive Order Likely First of Many: Sources

President-elect Donald Trump is poised to issue a crypto-related executive order within the opening hours of his second term, sources familiar with the matter told Decrypt—and it's likely just the first of many to come.

Trump’s first crypto executive order is expected to establish a presidential crypto council, made up of around 20 industry leaders—likely all founders and CEOs, one source said. The order is also likely to instruct the SEC to ditch a rule known as SAB 121 that discourages American banks from holding crypto, two sources said. Congress passed a repeal of SAB 121 last spring, but President Joe Biden vetoed the legislation, leaving the rule in place. 

It appears, however, that any first-day executive order—first reported earlier today by The Washington Post—may be just the start. Trump’s transition team floated a draft of a much more comprehensive crypto executive order in the weeks following November’s presidential election, sources told Decrypt. So while Trump may be poised to issue a targeted crypto-related executive order on day one, it’s likely that others that address more complex issues will be signed in the following days and weeks of his administration.

Some of those proposed reforms, which have not previously been reported, include instructing the CFTC and the SEC to establish a crypto working group to get on the same page about digital assets. Another would order the SEC to rescind its controversial exchange rule, which targets decentralized finance projects. Another drafted order directs the U.S. Secretary of State to coordinate internationally on the fostering of crypto-related innovation.

Sources familiar with the matter say they believe Trump intends to issue broad and sweeping guidance that will benefit the cryptocurrency industry, but say it will likely take more time to get those reforms across the finish line given the massive stack of executive orders awaiting his attention. One source said that could be a good thing, since these issues require careful consideration and are important to get right.

Of course, given the nature of the presidency and the hecticness that will no doubt surround Trump’s first days in office, the language and timeline of any proposed executive orders under consideration by his administration are always subject to change.

Last week, according to one source, Bo Hines, the former college football player tapped to run Trump’s crypto council, made calls to crypto policy leaders in Washington, asking them to submit proposals for potential crypto-related executive orders by this coming Wednesday, January 15.

With Trump’s inauguration to come less than a week after that deadline, it appears even less likely that the president-elect’s transition team is currently polishing a single, comprehensive crypto executive order in preparation for January 20. 

Neither Hines nor representatives of Trump’s transition team immediately responded to Decrypt’s request for comment.