Trump’s Pro-Crypto Presidency Promises Rapid Regulatory Progress, Says Coinbase Policy Chief

Faryar Shirzad, Coinbase’s Chief Policy Officer, expressed optimism that the convergence of a pro-crypto president and Congress could break years of legislative gridlock in the digital assets space.

Shirzad underscored the unprecedented alignment of a pro-crypto White House and a Republican-controlled Congress, calling it the “most pro-crypto Congress in U.S. history.” Speaking at a Coinbase-backed advocacy event in London on Dec. 2, Shirzad highlighted the opportunity to advance legislation that would shape the future of digital assets and stablecoins.

“We have an extraordinarily pro-crypto president coming into office. This combination should finally allow the 50 million Americans who own crypto to have their interests and voices reflected in policy,” Shirzad said.

Two major bills are poised to set the tone for the crypto industry:

1. The Financial Innovation and Technology for the 21st Century Act (FIT 21 Crypto Bill): This Republican-sponsored bill aims to establish a legal framework for cryptocurrencies and passed the House of Representatives earlier this year.
2. The Clarity for Payment Stablecoins Act: This proposed legislation seeks to regulate stablecoin issuers by creating a licensing regime for digital tokens pegged to fiat currencies like the U.S. dollar. While still awaiting a House vote, its passage is expected to streamline stablecoin use in global trade and payments.

Shirzad anticipates significant progress on both bills by 2025, describing their passage as a pivotal step toward regulatory clarity.

SEC Chair Gary Gensler, who is renowned for his strict stance on crypto regulation, added to the optimism when he announced his resignation, which took effect on January 20, 2025, the day of Trump’s inauguration. The departure of Gensler could signal a shift in regulatory philosophy.

Faryar Shirzad and Grant Vingoe share insights on crypto regulation at the Crypto Conversations event in Toronto, Canada. Source: Youtube

Shirzad expressed confidence that Trump would appoint an SEC chair aligned with his administration’s pro-crypto stance, potentially fostering innovation in the U.S. crypto market.

The crypto sector has actively sponsored cryptocurrency-friendly political candidates. The Federal Election Commission reports that cryptocurrency-related political action groups (PACs) raised more than $245 million to influence the 2024 elections. Coinbase’s advocacy group, the Stand With Crypto Alliance, also created a grading system to assess politicians’ opinions on bitcoin, helping to elect roughly 300 pro-crypto MPs.

Trump’s win and his administration’s optimistic outlook have infused new life into the cryptocurrency business. Shirzad stressed the necessity of building on this momentum to establish the United States as a global leader in digital assets.

The stakes are high, with stablecoin regulation being particularly urgent given its growing role in international payments. If successful, this regulatory overhaul could unlock the full potential of digital assets, paving the way for innovation and economic growth in the sector.

As Shirzad aptly stated, “The alignment of a pro-crypto president and Congress creates an unprecedented opportunity for transformative progress in U.S. cryptocurrency policy.”