Circle CEO Anticipates Imminent Trump Executive Orders Supporting Crypto Adoption
At the World Economic Forum in Davos, Circle CEO Jeremy Allaire expressed expectations for imminent executive orders from incoming President Donald Trump. These orders, he believes, could pave the way for expanded crypto adoption by banks and financial institutions.
Circle, the issuer of the USDC stablecoin, anticipates these orders will facilitate banks trading crypto, offering crypto investments to high-net-worth clients, and holding crypto in their portfolios. The USDC, pegged to the value of the U.S. dollar, ranks as the second-largest stablecoin by market value and the eighth-largest cryptocurrency overall.
President Trump has pledged to become a "crypto president," signaling his support for digital assets. He is expected to issue executive orders aimed at reducing regulatory hurdles and encouraging widespread crypto adoption following his inauguration. The value of the president's own cryptocurrency surged on Monday, reaching nearly $12 billion in market capitalization.
Allaire highlighted the importance of repealing the Securities and Exchange Commission's (SEC) Staff Accounting Bulletin 121, which he believes has disincentivized banks and financial institutions from holding crypto assets on their balance sheets. He anticipates this repeal to be addressed in Trump's executive orders.
"I'm strongly in favor of repealing it and I would hope that President Trump would take that action," Allaire stated, emphasizing that Circle already partners with banks commercially.
Allaire also anticipates increased activity from Congress on digital asset regulations in the coming weeks.