Lessons from President Trump's Cryptocurrency Policy: From "Regulatory Hostility" to "National Strategy"

If the keywords for cryptocurrency over the past decade were "innovation" and "speculation," then since President Trump's second term, the keyword for US crypto policy has been "leadership."
This is not simply a deregulation or an encouragement of cryptocurrency speculation, but a clearer national strategy: supporting open blockchains, protecting self-custody, developing dollar-denominated stablecoins, establishing a strategic Bitcoin reserve, clarifying regulatory boundaries, and incorporating digital assets into the core framework of U.S. financial competitiveness.
On January 23, 2025, Trump signed the Executive Order "Strengthening U.S. Leadership in Digital Financial Technologies." This document explicitly states that U.S. policy should support the responsible growth of digital assets, blockchain, and related technologies; protect the ability of individuals and the private sector to access public blockchains, develop software, participate in mining and verification, conduct legitimate transactions, and self-custody digital assets; promote the development of stablecoins backed by a legitimate U.S. dollar; and explicitly oppose the establishment, issuance, and use of central bank digital currencies (CBDCs) within the United States.
This executive order sends a strong signal: the Trump administration does not view cryptocurrencies merely as objects of financial regulation, but rather as components of technological sovereignty, financial innovation, and the competitiveness of the dollar.
The following six insights are the most noteworthy interpretations of this policy.

(Image caption) Trump signs executive order on digital finance

Cryptocurrencies have entered the national strategic level. One of the most symbolic actions in Trump's policies is the establishment of a "strategic Bitcoin reserve" and a "US digital asset reserve."
On March 6, 2025, the White House issued an executive order establishing the Strategic Bitcoin Reserve and the US Digital Asset Stockpile. The executive order states that Bitcoin, with a supply cap of 21 million, is known for its scarcity and security and is often referred to as "digital gold." The US will include Bitcoin acquired through criminal or civil forfeiture proceedings and held by the Treasury Department in its strategic reserves, and explicitly stipulates that government Bitcoin included in the reserves cannot be sold and will be held long-term as US reserve assets. The executive order also requires the Treasury and Commerce Departments to study acquiring more government Bitcoin in a "budget-neutral" manner, without imposing additional costs on taxpayers.
This incident has profound implications.
For the first time, Bitcoin has been placed in the context of "strategic reserves" by the US government. In the past, Bitcoin was often understood as a private asset, a risky asset, or an alternative asset; now, it has been included within the framework of national asset management and global financial competition.
This doesn't mean Bitcoin is without volatility, nor does it mean the government endorses all crypto assets. But it does mean the US is beginning to recognize the long-term strategic value of certain digital assets. For other countries, financial institutions, and businesses, this is a clear policy signal: digital assets are no longer just a regulatory issue, but could become part of national balance sheets, technological competition, and financial infrastructure.

(Image caption) The rise of bank custody and RWA infrastructure

Dollar stablecoins are at the heart of digital finance strategy. The Trump administration’s stance on stablecoins has been particularly clear: support for dollar stablecoins and opposition to CBDCs.
On July 18, 2025, Trump signed the GENIUS Act, making it a key federal law regulating stablecoins in the United States. The White House stated that the act established the first federal regulatory system for stablecoins in the US, requiring issuers to provide 100% reserve backing in liquid assets such as US dollars and short-term US Treasury bonds, and requiring issuers to publicly disclose their reserve composition monthly.
There is a very clear policy logic behind this: the United States is not in a hurry to launch a central bank digital currency, but instead allows the private sector to issue compliant dollar stablecoins, allowing the dollar to continue to expand through the blockchain network.
This path has profound implications for the global financial landscape. If stablecoins are widely adopted, they essentially embed the US dollar into the global on-chain economy—regardless of whether users are in Asia, Latin America, the Middle East, or Africa, using USDT, USDC, or other US dollar stablecoins constitutes, to some extent, the use of a digital dollar. This could strengthen the international status of the US dollar, or it could deepen other countries' structural dependence on the dollar system.
The White House Presidential Task Force on Digital Asset Markets also explicitly stated that the widespread adoption of dollar-backed stablecoins would help modernize payment infrastructure and strengthen the role of the dollar, and recommended the prompt implementation of the GENIUS Act, while also promoting anti-CBDC legislation.
Choosing stablecoins over CBDCs is a deliberate, globally significant strategic choice by the United States in the digital currency competition.

(Image caption) Bitcoin enters the context of US strategic reserves

Regulatory clarity is itself a competitive advantage. The crypto industry has long faced a deep dilemma: Which assets fall under the jurisdiction of the SEC? Which under the CFTC? How do exchanges register? How can custody services be compliant? How should DeFi be regulated? Can banks serve crypto businesses?
Vague rules are more damaging than strict rules.
One of the Trump administration's policy priorities was to clarify regulatory boundaries. A January 2025 executive order established the "Presidential Task Force on Digital Asset Markets," requiring relevant agencies to identify regulations, guidelines, and orders affecting the digital asset industry and to submit recommendations for repeal, modification, or new rules within a specified timeframe. The task force was also required to submit regulatory and legislative recommendations on market structure, oversight, consumer protection, and risk management.
In July 2025, the working group recommended that a market structure framework adapted to digital assets should be established, that Congress should be supported in advancing legislation related to CLARITY, that the CFTC should be given the authority to regulate the spot market for non-securities digital assets, and that the SEC and CFTC should provide clarity to market participants in areas such as registration, custody, trading, and record keeping.
The lesson for the industry is this: what truly attracts institutional funding is not just "less regulation," but "clear regulation." Institutions are not afraid of rules, but of rule uncertainty; banks are not afraid of compliance, but of unclear compliance paths; investors are not afraid of risk, but of the inability to disclose, price, or hold accountable those risks.
The clearer the system, the more sustainable the innovation.

Banks, custody, and RWA will be the main battleground. The Trump administration's digital asset policy is not just focused on coin prices or trading. It pays particular attention to the banking system's ability to deeply participate in digital asset services—including custody, tokenization, stablecoin issuance, and blockchain usage.
The White House task force recommended restarting efforts to promote crypto innovation in banks, clarifying what activities banks can engage in in custody, tokenization, stablecoin issuance, and blockchain usage, and increasing transparency in banking licenses and Federal Reserve master account application processes.
This is especially important for RWA.
RWA cannot be accomplished solely through on-chain technology—it requires bank accounts, asset custody, auditing, legal authorization, investor suitability, anti-money laundering, and tax processing. If the banking system continues to resist digital assets, RWA will struggle to scale effectively; however, if banks, fund companies, custodians, blockchain platforms, and regulatory bodies establish an enforceable collaborative framework, RWA could become a core component of the next-generation capital market infrastructure.
The RWA market is currently showing a clear trend towards institutionalization. Data from RWA.xyz shows that the value of on-chain RWA assets is approximately $26.71 billion, covering categories such as US Treasury bonds, money market funds, asset-backed securities, and gold; products such as BlackRock BUIDL, Circle USYC, Ondo USDY, and Franklin Templeton BENJI have all reached or are close to the billion-dollar level.
This suggests that the impact of Trump's policies is not just "good news for the crypto industry," but may also accelerate the on-chain process of traditional financial assets—bringing assets that previously only existed in brokerage accounts and fund systems into a faster, more programmable, and more global financial network.

(Image caption) Stablecoins for the US dollar are reshaping the global payment network.

The opposition to CBDCs is driven by a narrative of "financial freedom." The Trump administration's opposition to CBDCs is not just a technological choice, but also a political narrative.
The executive order explicitly states that CBDCs could threaten the stability of the financial system, individual privacy, and U.S. sovereignty, and therefore requires measures to prohibit the establishment, issuance, circulation, and use of CBDCs within the United States.
This stance reflects the value framework of Trump's crypto policy: supporting private sector innovation, open blockchains, self-custody, and opposing direct government control over personal digital currency accounts. This position will be welcomed by those who value privacy, autonomy, and market freedom—and also presents a stark institutional contrast globally.
This brings a real responsibility: if the US abandons the CBDC route and chooses the stablecoin route, then stablecoin issuers, banks, custodians, and payment platforms must bear greater institutional responsibility. The stronger the private digital currency system, the greater the need for regulation to ensure the authenticity of reserves, smooth redemption, consumer protection, and traceability of illicit funds.
Freedom and order should not cancel each other out. A truly mature digital finance system requires both to coexist.

Favorable policies do not mean there are no risks; necessary reminders should not be omitted.
Trump's crypto policies are clearly pro-industry, but they are also accompanied by real controversy. His and his family's crypto businesses, projects such as Memecoin and World Liberty Financial, have drawn ongoing attention to conflicts of interest, political influence, and investor protection. Reuters and other media outlets have reported that Trump's introduction of related crypto tokens has raised ethical and conflict-of-interest concerns; World Liberty Financial has also been the subject of related lawsuits and investor controversies.
This reminds us of an important point: policy support for the crypto industry does not mean that all crypto projects are trustworthy; a president's optimism about crypto assets does not mean that investors can ignore valuation, liquidity, governance, compliance, and conflicts of interest.
Especially in the RWA (Real Assets and Services) sector, the more a product is labeled as "real assets," "dollar assets," "government bonds," or "issued by an institution," the more seriously we need to ask: Do the underlying assets actually exist? Are the legal rights clearly established? Is the custody arrangement reliable? Is the redemption mechanism enforceable?
Policy signals provide direction, while due diligence is the bottom line. Neither is dispensable.

(Image caption) Regulatory clarity becomes a competitive advantage in the crypto space.

Six key takeaways and one central theme: President Trump's encryption policy offers at least six insights worth observing in the long term:
Firstly, cryptocurrency has risen from a market topic to a national strategy.
Secondly, Bitcoin is being redefined as a potential strategic reserve asset.
Third, stablecoins will become a new tool for the United States to extend the influence of the dollar.
Fourth, the clarity of regulation will determine the competitive landscape of the global crypto industry.
Fifth, banking, custody, taxation, anti-money laundering, and RWA infrastructure will become the main battleground in the next phase.
Sixth, innovation must be promoted in tandem with transparency, accountability, and conflict of interest governance; otherwise, the benefits will be nothing more than a fleeting narrative bubble.
For GFM's "Web4 × RWA" column, the most important thing is not to judge the rise and fall of a certain coin, but to see a deeper main theme: cryptocurrencies are transforming from "market assets" to "institutional assets", from "technological experiments" to "national competition", and from "virtual world" to "real assets on the blockchain".
The biggest lesson Trump's policies have taught the industry is that future competition in the crypto space will not just be about code or capital, but about systems, trust, and financial infrastructure.
Whoever can combine technological efficiency, legal certainty, asset authenticity, user protection, and global liquidity will likely occupy a truly substantial position in the Web4 and RWA era.

This article is for industry research and trend observation purposes only and does not constitute any investment advice. The policy documents and data cited in this article are current as of the time of writing; readers should refer to them for the most up-to-date information.