President-elect Donald Trump said he would be issuing an executive order to make cryptocurrency a national priority. Now, sources familiar with the plans say that the order is expected to name crypto as a strategic imperative, guiding the government agencies to cooperate with the industry. Moreover, a crypto advisory council will be formed to advance the policy interests of the sector.
This is considered a great step forward as the United States would now stand ahead in the arena of innovation and regulation related to cryptocurrencies. The news already sparked a positive response in the crypto market. The flagship cryptocurrency, Bitcoin, has gone up more than 4% on Friday to $104,672.37 as reported by Coin Metrics. Other cryptocurrencies and trading platforms such as Coinbase and Robinhood have shown substantial gains in their shares up over 4%.
The broader crypto market, as captured by the CoinDesk 20 index, climbed 3% Friday, a day after it advanced 4%. Trading activity for small-cap cryptos, also sometimes referred to as high-risk assets, increased over the past day, too. For example, Litecoin has increased by 30% over the past two days.
According to Bloomberg and The New York Times reports, the advisory council may discuss matters such as forming a national Bitcoin reserve. Once this is enacted, it might increase markets, especially on the bitcoin market.
While Trump’s pro-crypto stance is expected to foster more innovation, Wall Street analysts argue that the full regulatory impact would take some time to play out. Nevertheless, investors see all this as a relatively prime environment from the administration side.
Just days before Trump’s inauguration, the market is holding its breath. Analysts believe that crypto-friendly policies and supportive laws will drive Bitcoin and the rest of the cryptocurrencies upwards to fully notice a new era in crypto.
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