Trump to Ease Crypto Rules for U.S. Banks

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Altcoinbuzz2025/01/16 10:33

By:By Victor -Victor -

President-elect Donald Trump plans to repeal a controversial accounting rule.

The Washington Post reports that Trump’s transition team is collaborating with crypto leaders on a legislative strategy. They hope to issue executive orders on his first day in office.

One of the key issues on the table is the repeal of SAB-121 . The policy forces banks holding digital assets like Bitcoin to count them as liabilities.

Repealing SAB-121 Could Simplify Bitcoin Ownership for U.S. Banks

If SAB-121 is repealed, it could significantly reduce the complexity and regulatory burden for banks wanting to hold digital assets. This move would open the door for all U.S. banks to own Bitcoin without the current regulatory headache. The changes could create a ripple effect, potentially unlocking new opportunities for financial institutions. This will also expand the reach of Bitcoin within the traditional banking system.

If SAB-121 is repealed, then banks who want to hold $BTC can do so with substantially lower complexity and regulatory burden.

Spot ETFs brought the institutions, and the repeal of SAB-121 would open bitcoin ownership to every single US bank.

2025 is already insane for bitcoin. https://t.co/TRV4YEunyE

— Joe Consorti ⚡️ (@JoeConsorti) January 13, 2025

The push for change comes after the success of Bitcoin ETFs . They have already helped bring institutional investors into the crypto space. If the repeal of SAB-121 is enacted, it would take things a step further. This will allow Bitcoin to be seen as a more accessible and less risky asset for banks to hold. With fewer restrictions, banks could easily integrate Bitcoin into their operations. This will make it available for their customers while also boosting their portfolios.

More About Trump & Bitcoin

President Trump recently expressed his vision for the future, emphasizing that his administration would focus on embracing emerging industries rather than attacking them. He specifically highlighted cryptocurrency and Bitcoin as key areas for growth, stating, “Instead of attacking industries of the future, we will embrace them, including making America the world capital for crypto and bitcoin.”

President Trump says, “Instead of attacking industries of the future, we will embrace them, including making America the world capital for crypto and bitcoin” pic.twitter.com/q73AlVtiv2

— Documenting ₿itcoin 📄 (@DocumentingBTC) January 14, 2025

This statement reflects his commitment to positioning the U.S. as a global leader in the crypto space, encouraging innovation, and fostering an environment where digital assets can thrive. Trump’s approach signals a shift towards supporting the crypto industry and promoting its potential in the American economy.

Disclaimer

The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted levels of risk tolerance of the writer/reviewers and their risk tolerance may be different than yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments so please do your due diligence. Copyright Altcoin Buzz Pte Ltd.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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