What Is Trump 2.0 and How This Can Affect the Crypto Market?

As the political winds shift once again in Washington, the return of Donald Trump to the presidency has brought with it a renewed sense of urgency and unpredictability. Not just in politics, but in the financial world as well. 

In what is being called Trump 2.0, the administration is taking bold steps to reshape the United States’ approach to cryptocurrency regulation. 

With new executive orders, sweeping personnel changes, and a strong pro-crypto tone, many investors and developers are now wondering: what is Trump 2.0 really about, and how could this affect the crypto market?

What is Trump 2.0?

The term Trump 2.0 refers to Donald Trump’s second term as President of the United States, marked by a distinct shift in domestic and economic priorities. Unlike his first term, this new era is heavily focused on making the U.S. a global leader in digital innovation—especially in the fields of cryptocurrency and blockchain. 

One of the administration’s earliest moves was to sign an executive order supporting the responsible growth of digital assets, a signal that Washington’s stance on crypto is about to change significantly.

This executive order, signed on January 23, 2025, outlines several key objectives. It establishes a new presidential working group on digital assets, limits support for central bank digital currencies, promotes U.S. dollar-backed stablecoins, and calls for clearer regulatory guidance for the crypto industry. 

These efforts aim to provide the clarity that crypto companies and investors have long demanded.

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Pro-Crypto Faces in Key Positions

Trump 2.0 is not just about policies—it’s about people. The administration has appointed individuals known for their crypto-friendly views to critical regulatory positions. 

David Sacks, a venture capitalist and strong supporter of the crypto industry, now serves as the President’s "Crypto and AI Czar." He is also leading the newly established Working Group on Digital Asset Markets.

In addition, former SEC commissioner Paul Atkins has been nominated to chair the Securities and Exchange Commission. 

Atkins is expected to take a different approach compared to his predecessor, focusing more on providing guidance than pursuing aggressive enforcement actions. His presence could mark a new chapter of cooperation between regulators and the crypto industry.

The Treasury Department, another influential player in shaping financial policy, is now headed by Scott Bessent, a vocal proponent of blockchain technology. With Bessent in charge, the expectation is that the government will adopt a more balanced and innovation-friendly regulatory stance.

A Shift in Regulatory Strategy

Under the Biden administration, crypto companies often faced uncertainty due to ambiguous regulations and enforcement-driven policies. The creation of the “Crypto 2.0” task force by the SEC in January 2024 reflects a new approach. 

The task force is working to build a transparent regulatory framework for the crypto market, one that replaces vague enforcement with clear rules.

By promoting collaboration among federal agencies and encouraging public input, the task force hopes to correct past mistakes where regulation came after innovation had already occurred. If successful, this could make the United States a more attractive environment for crypto startups and investors.

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The Role of Federal Banking Regulators

During the previous administration, crypto companies frequently struggled to access traditional banking services. Regulatory pressure discouraged banks from offering crypto-related products, creating a significant barrier to industry growth. Trump 2.0 aims to change that.

New leadership at federal banking agencies such as the FDIC and Federal Reserve is signaling openness to crypto engagement. 

Acting FDIC Chairman Travis Hill has advocated for transparent guidelines that would allow banks to work more freely with crypto companies. These regulatory shifts could open new doors for innovation and financial inclusion.

Congressional Activity and Legal Frameworks

While the executive branch is setting the tone, Congress is also moving toward legislative clarity. Lawmakers have shown renewed interest in passing the Financial Innovation and Technology for the 21st Century Act (FIT21). 

This bill would classify many digital assets as commodities and clearly define the roles of the SEC and the CFTC.

If passed, FIT21 could provide the legal certainty needed to support long-term investment and innovation in the crypto space. 

However, the process remains uncertain, and state-level regulation may continue to create challenges, especially in places like New York and California with their own licensing systems.

State-Level Oversight Remains a Hurdle

Even as the federal government moves toward clearer rules, crypto companies must still navigate a patchwork of state laws. 

States like New York enforce strict licensing through programs like the BitLicense, while California’s new Digital Financial Assets Law introduces additional requirements. 

Moreover, state attorneys general are expected to continue their enforcement efforts, making compliance a complex task.

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Emergency Powers and Economic Strategy

Trump’s second term is also defined by a broader use of emergency powers, often linked to economic and trade policies. From imposing tariffs to reshaping energy policy, the administration is leveraging national emergencies to act quickly. 

While this has sparked debate about the limits of executive power, it also reveals a pattern: Trump is not afraid to use bold measures to advance his agenda.

This pattern could influence crypto policy as well. If seen as a matter of national economic interest or global competitiveness, digital assets may receive special attention through executive action, bypassing lengthy legislative processes.

FAQ

1. What executive orders about immigration are currently in effect?

On its first day, the Trump administration issued 46 executive orders, many of which aimed to change immigration policies.

2. Will USCIS processing times be longer?

Yes. Due to increased focus on immigration enforcement, application processing is expected to take more time.

3. What documents should I carry to prove I'm allowed to be in the U.S.?

You should carry at least one valid document, such as an I-94, Green Card, EAD, Border Crossing Card, or an entry stamp from Customs.