The 168-page crypto report urges Congress to enhance crypto legislation, working to make true Trump’s election promise of making America the crypto capital of the world.
On the 30th of July, the crypto working group established by President Donald Trump released an extensive document on how cryptocurrency should be regulated.
The 168-page document detailed related matters such as jurisdictional oversight, banking regulations, a crypto stockpile, and a tax policy for cryptocurrencies.
This report is part of the executive order President Trump issued in January, which created the President’s Working Group on Digital Asset Markets. The working group is led by Bo Hines.
The U.S. Securities and Exchange Commission (SEC) Chair Paul Atkins, Treasury Secretary Scott Bessent, and Commerce Secretary Howard Lutnick are among the other members of the group.
The fact sheet released ahead of the report stressed positioning America as the leader in digital asset markets, recommending that Congress build on the bipartisan CLARITY vote.
It encouraged the SEC and the Commodity Futures Trading Commission (CFTC) to use their existing authority to –
“Immediately enable the trading of digital assets at the Federal level.”
Modernizing bank regulations and combating illicit finance were also mentioned.
The working group stated that the Trump Administration has been working to end regulatory efforts that deny banking services to the digital asset industries.
To counter illicit finance, one of the actions recommended was that Congress should clarify the AML/CFT obligations of actors within the decentralized finance sector.
Another item was strengthening the US dollar by the widespread adoption of dollar-backed stablecoins to modernize the payments infrastructure.
Earlier this month, the week of the 14th of July, titled “crypto week”, saw Trump sign into law a bill to create federal rules for stablecoins. Dubbed the GENIUS Act, the law is a huge win for crypto.
The regulatory framework helps legitimize the industry.
The working group recommends that the Treasury and banking agencies,
“Faithfully and expeditiously implement GENIUS.”
The Treasury and relevant U.S. agencies should promote private sector leadership in the development of innovative cross-border payments and financial market technologies, the report read.
The authors also urged Congress to pass the CBDC Anti-Surveillance State Act. Furthermore, it should prohibit the research and development of a central bank digital currency in the U.S.
Finally, to ensure fairness and predictability in crypto taxation, tax rules must eliminate compliance hurdles for businesses and individuals.
The working group recommended that the Treasury and IRS reduce burdens on taxpayers. They can do this by publishing guidance on topics such as CAMT, wrapping transactions, and de minimis receipts of digital assets.
During a press briefing, senior administration officials called the report the most comprehensive product released for digital assets.
