Cryptocurrencies Decline Amid Anticipation of a U.S. Executive Order That Could Be a Game-Changer:
Will Bitcoin See the Creation of a Strategic Reserve?
Cryptocurrencies experienced a decline during Thursday’s trading session as Bitcoin approached the $100,000 level.
This came after a significant rally in the largest cryptocurrency by market capitalization,
which followed initial U.S. steps toward easing regulatory restrictions in the crypto market.
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Bitcoin
Bitcoin fell by 1.88% to $102,361.7, while Ethereum dropped by 1.25% to $3,223.26.
In another development, “Bitwise” and several investment managers submitted an official application to the U.S. Securities and Exchange Commission (SEC) to register exchange-traded funds (ETFs) for Dogecoin.
This move came in response to the significant increase in demand for the cryptocurrency,
which is strongly backed by billionaire Elon Musk.
Meanwhile, the SEC announced on Tuesday the formation of a “Crypto Operations” team led by Acting Chairman Mark Uyeda.
This team aims to develop a comprehensive and clear regulatory framework for digital assets.
The crypto market is eagerly awaiting a potential announcement from U.S. President Donald Trump regarding a major executive order on Bitcoin and digital currencies in the coming days.
This announcement is expected to bring significant changes to cryptocurrency regulations,
potentially providing long-awaited clarity to the rules governing this sector.
Trump
Trump sparked controversy with his statements about establishing a strategic Bitcoin reserve for the United States.
This initiative aims to enable the government to retain its current Bitcoin holdings
while adding more digital currencies to its reserves over the coming years.
Reports suggest that Trump is seeking to accumulate one million Bitcoins over five years,
representing about 5% of Bitcoin’s total global supply.
Several U.S. states, such as Florida, Wyoming, and Massachusetts,
have already begun supporting this idea by introducing bills aimed at incorporating Bitcoin into their state reserves.
Experts also anticipate that the Trump administration will introduce a series of new policies to facilitate cryptocurrency investment and usage. These potential policies include supporting banks in holding digital assets securely on behalf of their clients.
Additionally, tax reforms on cryptocurrency transactions might be introduced,
such as eliminating capital gains taxes on purchases made with Bitcoin.
The future of cryptocurrencies in the United States appears to be undergoing significant transformations
that could reshape the regulatory and investment landscape of this critical sector.
Cryptocurrencies Decline Amid Anticipation of a U.S. Executive Order That Could Be a Game-Changer