US President Donald Trump has issued his first executive order targeting the cryptocurrency industry, fulfilling campaign promises to address crypto-related policies. In a Jan. 23 televised address from the Oval Office, Trump appeared alongside his “AI and crypto czar,” David Sacks, who elaborated on the executive order’s goals. Sacks explained that the order establishes an “internal working group to make America the world capital in crypto,” with himself appointed to lead the initiative. The executive order prohibits “the establishment, issuance, circulation, and use” of a US central bank digital currency (CBDC). It also tasks the working group with exploring the creation of a national crypto stockpile and drafting a regulatory framework for stablecoins. The proposed working group would include the US treasury secretary, attorney general, SEC and CFTC chairs, as well as members of Trump’s cabinet and other agency heads. During the announcement, Trump remarked that Sacks would “make a lot of money” through the executive orders related to AI and cryptocurrency. According to the order’s text, Trump officially revoked a March 2022 executive order from former President Joe Biden, which directed agencies to develop a regulatory framework for crypto. Controversies Surrounding Trump’s Crypto Policies The executive order fulfills Trump’s campaign promise to prevent the development of a CBDC. However, critics question the extent of presidential authority to enact such sweeping policies via executive order. For instance, a Jan. 20 order revoking birthright citizenship under the 14th Amendment was quickly blocked by a federal judge as “blatantly unconstitutional.” Trump has also pardoned Silk Road founder Ross Ulbricht, another campaign promise, but has yet to comment on his pledge to ensure all Bitcoin is “made in the USA.”
