Circle CEO: Banks Are 72 Hours Away From Entering Crypto Markets
- Circle CEO anticipates executive orders allowing banks to trade crypto, potentially opening floodgates for institutional investment.
- Trumps crypto-friendly stance and promised executive actions could revolutionize how traditional banks handle digital assets.
- USDC issuer suggests imminent policy shifts that could create new opportunities for crypto investors and traders
Circle CEO Jeremy Allaire anticipates groundbreaking executive orders from President Donald Trump that could transform how traditional banks interact with digital assets. The cryptocurrency market could be on the verge of a transformative shift.
This primarily means overhauling the controversial SECs SAB 121. These rules required firms that hold customers crypto assets in custody to record them as liabilities on their balance sheets. Public banks criticized this clause calling it burdensome and discouraging them from offering crypto custody services.
Earlier former president Biden vetoed a resolution passed by both houses of the US Congress to repeal the crypto custody rules. This move sparked a lot of controversy within the crypto community.
Now with Trumps entry, the crypto industry awaits a potential repeal of the SECs Staff Accounting Bulletin 121. These executive orders could enable banks to not only trade cryptocurrencies but also offer crypto investments to high-net-worth clients and maintain digital assets in their portfolios. This institutional adoption could trigger significant price appreciation across the altcoin market.
The news is significant considering Circles position as the issuer of USDC, the second-largest stablecoin globally and the eighth-largest cryptocurrency by market capitalization. USDCs dominant market position adds credibility to Allaires insights about potential regulatory changes.
Circles USDC Set to Dominate as Trump Administration Rules Out CBDC
Recently, Treasury Secretary, Scott Bessent, stated theres no reason for the government to create a central bank digital currency (CBDC). As a U.S.-based, regulated company, Circles USDC derives a significant advantage over rival Tether (USDT) in gaining U.S. institutional trust.
The anti-CBDC stance from Trumps Treasury Secretary implicitly suggests private stablecoin solutions will be preferred. Additionally, Circles strong relationship with U.S. banks and regulators could become even more valuable. Overall, the clarity on no CBDC could drive more partnerships between Circle and traditional financial institutions
For crypto investors, these developments signal a golden opportunity to identify and invest in promising altcoins before institutional money flows in, possibly leading to substantial returns as the market expands.
Read more: https://www.tronweekly.com/circle-ceo-banks-crypto-markets/
Text source: TronWeekly
