 
 
A White House Working Group released an anticipated report on the digital asset market with recommendations around banking, stablecoins, taxes, and other related areas. This follows positive regulations already passed by the present administration, most recently, the landmark Genius Act, billed to usher in clear stablecoin rules. Industry stakeholders were delighted with the report, looking forward to possible implementation.
Group Seeks Wider Crypto Adoption
The group called for clearer federal regulations for digital assets to drive the adoption of new financial products. According to the report, gaps in regulatory oversight should be eliminated, with the Commodity Futures Trading Commission (CFTC) allowed to oversee spot markets for non-security digital assets. This would be captured in the Digital Asset Market Clarity Act.
Meanwhile, both the Securities and Exchange Commission (SEC) and the CFTC are urged to encourage the trading of digital assets at the federal level. Such a move would be implemented by removing bureaucratic hurdles for both financial consumers and innovators.
“By implementing these recommendations, policymakers can ensure that the United States leads the blockchain revolution and ushers in the Golden Age of Crypto,” the report reads.
Furthermore, sources disclosed that the White House will release details about the Strategic Crypto Reserve, which is expected to include about 198,000 BTC seized by the government. The Crypto Reserve was a game-changer for institutional sentiments, as it alleviated fears of expected sales and strengthened institutional demand.
 
Pro-crypto lawmakers argued that Bitcoin remains primary to the reserve because of its utility as a store of value. With the rising BTC price, Cynthia Lummis projected the asset to help cushion the growing national debt.
Furthermore, the report seeks clarity on permissible bank activities regarding stablecoins and other assets. This comes amid increasing institutional investing in stablecoins, citing seamless cross-border payments. In the last quarter, a handful of United States banks began exploring stablecoins backed by international frenzy. These institutions aim to lower fees and boost trade and settlement through blockchain-based assets.
Amid the head traditional inflows, President Trump signed the GENIUS Act, with stablecoin clarity expected. Other jurisdictions like Hong Kong are also at the cusp of landmark rules for these assets. Since Trump’s inauguration in January, institutional crypto sentiments have hit a record high alongside the price of Bitcoin and other digital assets. Decentralized finance (DeFi) activities also flipped into the green zone in the same time frame.
Source: https://zycrypto.com/trump-crypto-group-pushes-for-federal-clarity-on-digital-asset-regulations/