It took a few extra days and wasn't a "day 1" thing lol but it looks like those executive orders for crypto are coming in hot. I will have to say the things going on in the white house right now and the USA government are interesting. Much more interesting then what's been happening for the last few years under Biden where it felt like legit nothing was getting done beside catering to a few cry babies and some really weird politics like DEI etc. But that's for another time.

Executive Order

The order that was signed not long ago was talked about as building a group of people to make crypto America the capital of it all. So heavy push in terms of adoption, making it so businesses can launch crypto projects here in the USA and so much more is what we are currently looking forward to and speculating with this order.

This main order is to stop government and government agents from targeting the crypto sector and instead build a frame work to allow crypto to be welcomed and developed in the country.

No CBDC

The order also says no CBDC will ever be made which is a rather big blow to the central banking system which is actully a huge win for crypto or people in crypto looking to really change the financial system. This allows for stablecoins to thrive and for there to be no standard and instead more free flowing with various platforms being able to launch their own stablecoin.

Digital Asset Stockpile

Part of it also states that a team will be put together to figure out how the country would get working framework to build a "digital" stockpile but didn't single out bitcoin which maybe we are reading into that too much but who knows.

SAB 121

SAB 121 was issued by the SEC which made banks report crypto assets and holdings as liabilities on the balance sheet. This raised operational costs and discouraged broader participation in the crypto markets by banks and company's. This was otherwise known as a proven thing and not conspiracy theory which it started out as to be known as operation choke point.

Next Moves

The big point of all of this is regulation clarity and finding a solid structure as to what to label things as clear as day and then also how to use stable coins to broaden the reach of the USD across the world making it even more dominate then it is already. And last but not least is the creation of a digital reserve and what that will look like.

More details will be coming out over time and 180 days is a long time. If we know the government though they like to often delay deadlines which I hope wont be the case here. That would put us into a late July for the deadline which is often perfect for a heated summer of crypto bull run.

Why CBDC's Out Is Good

The big bonus here with this is the heavy push not to launch a CBDC. A CBDC is in fact a very big risk to financial freedom and just overall freedom of the people in the USA.

Having a CBDC would mean all digital money is controlled by the fed one central entity and would in fact create a logged ledger of all of your transactions and everyone's transactions rolling forward. There would be no more financial privacy it would be gone for good. (Unless you used bitcoin etc)

The other issue is having a CBDC could mean timed out money if you don't use it you lose it type deal like we have seen happen in China. Controlling people with how and where they spend their money.

Why SAB 121 Out Is Good

The big plus here is it now opens banks up to be custodial options for these crypto assets. This wont happen over night but it should open up possibilities such as. Earning interest on your digital assets, being able to borrow against those digital assets.

This should create massive value as the use case and value of those assets that they can be borrowed against is huge.

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