Since President Trump took office, a lot has changed in the crypto landscape. So far, it seems for the better. The Biden administration had an opposite stance on crypto. It seemed hell-bent on slowing down the crypto industry.
Biden’s crypto regulation differed vastly from the new administration’s view on crypto. So, what changed in crypto regulation under Trump vs Biden?
Crypto Regulation Under Biden
Under the Biden administration, we saw an opposing crypto stance. However, his administration never really objected to the crypto space. Nonetheless, actions count louder than words. There was also never an explanation for why it vehemently targeted the crypto industry. But let’s look at some facts.
I am not an expert on crypto, but Puching policies by enforcement rather by interpretive guidelines is clear a “war on crypto initiated by the previous socialist Biden-Admin.
While in the summer of 2023, Biden’s
lifted banking sanctions and regulations on notorious… pic.twitter.com/nwVuzk8VwB— Real Hamlet Garcia (@Hamletgarcia17) February 9, 2025
Operation Chokepoint 2.0 came about in 2023. Crypto journalist Nic Carter coined this name in one of his articles. This was a campaign to cut traditional banks off from serving crypto firms. Trump referenced this name during his speech on Bitcoin 2024. Now he’s actively looking to dismantle Chokepoint 2.0.
— Autism Capital
(@AutismCapital) July 27, 2024
- There were also ‘pause letters’ by the FDIC (Federal Deposit Insurance Corporation). Between March 2022 and May 2023, it sent these out to regulated financial firms. These letters asked them to;
“pause, or not expand, planned or ongoing crypto-related activities and provide additional information.”
For example, holding or buying Bitcoin in your account.
- There’s also the case of two banks that went bankrupt. Silvergate and Signature Bank. Both had to shut down, although they had means to survive. Silvergate Bank was a major lender to the cryptocurrency industry. Signature held many crypto deposits. There’s speculation of political hits on these banks.
- Federal bank regulators also issued a joint statement in 2023. This mentions the risks of mingling banking and crypto services. As a result, Paxos Trust shut down its $BUSD stablecoin.
- Not to mention how the Treasury sanctioned Tornado Cash. These sanctions were lifted only a few days ago.
- And there’s Gary Gensler and the SEC. They filed many lawsuits that a lot of people interpreted as overreaching. The SEC sued many crypto firms but didn’t make any attempt to put clear crypto regulations in place. Notorious is the 4-year-long case against Ripple that just came to an end. Watch our dedicated video.
This is it – the moment we’ve been waiting for. The SEC will drop its appeal – a resounding victory for Ripple, for crypto, every way you look at it.
The future is bright. Let’s build. pic.twitter.com/7WsD0C92Cm
— Brad Garlinghouse (@bgarlinghouse) March 19, 2025
Crypto Regulation Under Trump
With President Trump at the helm, we see a new direction for the crypto sector. He wants to make the USA the crypto capital of the world. Remember that it was only 4 years ago that he called Bitcoin ‘a scam against the dollar’. So, he made a serious 180-degree turnaround.
TRUMP SIGNS AN EXECUTIVE
ORDER TO MAKE “AMERICA THE
WORLD THE CAPITAL OF CRYPTO.”THIS IS BULLISH BEYOND WORDS !!! pic.twitter.com/uPnIGsx0TL
— Ash Crypto (@Ashcryptoreal) January 23, 2025
So far, his administration has shown more than goodwill. There were, for instance:
- The White House Crypto Summit on 7th March 2025.
- Working groups to look into crypto regulation.
- A crypto task force. This task force will host a series of roundtables. In these, it will discuss key areas of interest for crypto regulation.
NEW: The @WhiteHouse and @realDonaldTrump will host its first ever Crypto Summit next Friday, March 7 featuring CEOs, investors and members of the Presidential Working Group on Digital Assets including @davidsacks47 and @BoHines. pic.twitter.com/psFr5CzY8v— Eleanor Terrett (@EleanorTerrett) March 1, 2025
However, setting up a crypto-friendly regulated framework takes time. The first steps have already been taken, though.
- The SEC will have a new chair, with Paul Atkins. Various pro crypto regulations are in the making.
- The Comptroller has already made it easier for US banks to engage in crypto activities.
Federally regulated US Banks can now custody Bitcoin without requiring prior approval – Office of the Comptroller of the Currency (OCC) pic.twitter.com/nj1ctXNqfs— Bitcoin Archive (@BTC_Archive) March 9, 2025
- Stablecoin legislation is underway. Crypto czar David Sacks got things moving within a month. The Senate already advanced a stablecoin bill, with the House not far behind. Of course, it helps that both are in Republican hands for the time being.
- Sacks also managed to overturn the DeFi platforms to collect and report data. This happened with bipartisan support.
The White House is pleased to announce its support for the CRA introduced by @SenTedCruz and @RepMikeCarey to rescind the so-called Broker DeFi Rule, an 11th hour attack on the crypto community by the Biden administration. pic.twitter.com/T7Hxasb4aC
— David Sacks (@davidsacks47) March 4, 2025
- Trump Media has announced a partnership with Crypto.com to launch a series of ETFs and ETPs. That’s the parent company of Truth Social.
NEW: @realDonaldTrump’s media company Trump Media, parent company of Truth Social, has announced a partnership with @cryptocom to launch a series of ETFs and ETPs “comprised of digital assets as well as securities with a Made in America focus spanning diverse industries such as… pic.twitter.com/Bxkfw6w3Ti— Eleanor Terrett (@EleanorTerrett) March 24, 2025
A Conflict of Interest?
Right, there is a potential conflict of interest. However, both the Senate and the House are in Republican hands. In other words, an impeachment procedure is currently not likely to happen.
There are various ethical concerns as well. David Sacks did the right thing, he sold all of his crypto investments. He did this to avoid any potential conflict of interest. Trump, on the other hand, seems to be getting deeper into crypto on a personal basis. There were the two memecoins, $TRUMP and $MELANIA and there’s World Liberty Financial.
Why does the media always want to portray crypto in the worst light? I did not “dump” my cryptocurrency; I divested it. Obviously I would have preferred not to, but government ethics rules required it. It’s an honor to serve President Trump and the American people. pic.twitter.com/EIArBKHQM8
— David Sacks (@DavidSacks) March 18, 2025
The other day, Trump mentioned his $TRUMP coin on Truth Social. He’s walking a thin line here. This can be seen as unethical.
Conclusion
There’s a big difference between the Biden and Trump administrations regarding crypto regulation. It’s almost like day and night. The Biden administration gave the crypto sector a hard time. With Trump, we see a positive attitude towards crypto regulation. However, there are potential ethical concerns with Trump at the helm.
Disclaimer
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