Circle CEO Jeremy Allaire has expressed optimism about incoming President Donald Trump’s plans for cryptocurrency regulation, suggesting that executive orders promoting digital assets could be issued soon after the inauguration on Monday.
Allaire, whose company issues the USDC stablecoin—ranked as the world’s second-largest stablecoin and eighth-largest cryptocurrency by market value—believes these orders could enable banks to trade cryptocurrencies, offer crypto investment options to wealthy clients, and include digital assets in portfolios.
In an interview with the Reuters Global Markets Forum during the World Economic Forum in Davos, Allaire highlighted the potential for a significant shift in the regulatory environment under Trump’s administration. “We expect executive orders imminently,” Allaire said.
Trump has positioned himself as a “crypto president,” with his administration reportedly aiming to reduce regulatory barriers and encourage broader adoption of digital currencies. On Monday, Trump’s newly-launched cryptocurrency soared to a market value of nearly $12 billion, signaling strong interest in his approach to the digital asset space.
One key area Allaire hopes Trump will address is the Securities and Exchange Commission’s (SEC) Staff Accounting Bulletin 121. The bulletin has been criticized for discouraging banks, financial institutions, and corporations from holding crypto assets on their balance sheets.
“Repealing this would be a game-changer,” Allaire stated, adding that such a move could pave the way for greater institutional involvement in cryptocurrencies. Circle already collaborates with banks as commercial partners, and Allaire believes repealing the bulletin would foster further integration between traditional financial institutions and the crypto market.
In addition to executive action, Allaire foresees an uptick in legislative activity surrounding digital asset regulations. “We expect Committee work to be very active, literally in the coming weeks,” he noted.
Trump’s anticipated executive orders could mark a major milestone for the crypto industry by legitimizing digital assets and encouraging their inclusion in mainstream financial systems. The potential regulatory easing comes amid growing global interest in stablecoins like USDC, which are pegged to fiat currencies to maintain price stability.
The Trump administration’s focus on cryptocurrency represents a stark shift from prior regulatory frameworks that some industry leaders viewed as restrictive. Should these executive orders materialize, they are likely to shape the future of crypto adoption in the U.S. and beyond, with ripple effects across the global financial landscape.
