On Thursday, U.S. President Donald Trump signed an executive order establishing a cryptocurrency working group tasked with proposing updated regulations for digital assets and exploring the creation of a national cryptocurrency reserve.

According to Reuters, the order also addresses long-standing concerns within the cryptocurrency industry, including provisions to ensure banking access for cryptocurrency companies. This move challenges claims that regulators have pressured financial institutions to cut ties with these firms—allegations regulators have consistently denied.

Additionally, the order prohibits the development of central bank digital currencies (CBDCs) in the U.S., citing potential risks to decentralized cryptocurrencies already in circulation.

A Step Toward Strengthening U.S. Crypto Leadership

The executive order is part of Trump’s broader effort to modernize digital asset policies, position the U.S. as a global leader in emerging technologies like blockchain and artificial intelligence, and bolster his image as a pro-cryptocurrency leader.

In the first 48 hours of his presidency, Trump pardoned Ross Ulbricht, the founder of the Silk Road marketplace, which played a pivotal role in Bitcoin’s early adoption. Trump described the pardon as an acknowledgment of Ulbricht's significant contributions to the mainstreaming of financial and technological innovation, despite the illegality of his dark web platform.

The executive order also aligns with recent efforts by the U.S. Securities and Exchange Commission (SEC), which launched the "Crypto 2.0 Task Force" to establish a comprehensive regulatory framework for the rapidly evolving digital asset sector.

Furthermore, this move follows President Trump and his wife expressing personal interest in entering the cryptocurrency market through the launch of their own meme coins—an effort that, so far, appears to have met with limited success.