by Jude Ayua
Crypto.com has withdrawn its lawsuit against the US Securities and Exchange Commission (SEC). This decision came shortly after a meeting between Crypto.com CEO Kris Marszalek and President-elect Donald Trump at Mar-a-Lago on 16 December. Crypto.com filed the lawsuit in October after it received a Wells Notice from the SEC. The firm challenged the SEC’s authority, alleging that the agency overstepped its jurisdiction by labeling certain digital assets as “crypto asset securities.”
The meeting between Marszalek and Trump, which focused primarily on crafting a clearer regulatory framework for the US crypto industry, invariably yielded positive results. Discussions reportedly centered on Trump’s pro-crypto policies, including a proposed national Bitcoin reserve, as well as key appointments in the incoming administration that could reshape the regulatory landscape for digital assets.
Read also: Gary Gensler: The Imminent Resignation of the US SEC Chair and His Legacy.
Prospects for the incoming administration
Trump has already shown openness to advancing crypto innovation, with appointments such as Paul Atkins, a longtime advocate for balanced crypto regulation, to lead the SEC, and reportedly, Brian Quintenz, as the Commodity Futures Trading Commission Chair. Also, venture capitalist and Bitcoin supporter David Sacks has been named as the White House “A.I. & Crypto Czar,” further confirming the administration’s crypto-friendly stance.
A spokesperson for Crypto.com expressed optimism about working together with the new administration: “We look forward to working with the administration to develop clear regulations for the crypto industry so the U.S. can become a global leader in digital assets and innovation.” This optimism reflects a broader industry trend, as firms seek to navigate regulatory challenges while contributing to policy-making efforts.
Read also: US Crypto Regulations: Trump Considering Quintenz for CFTC Chair.
Trump’s crypto moves and industry support
Among Trump’s campaign promises was his proposal for a national Bitcoin reserve to safeguard national financial resilience. Pro-crypto states have already embraced the idea given to its implementation at the federal level. In the industry, advocates like Dennis Porter, CEO of Satoshi Act Fund, are ready to back Trump’s crypto moves.
“I can confirm that Trump is exploring an Executive Order creating a ‘Strategic Bitcoin Reserve.’ The Treasury, through the Exchange Stabilization Fund, has the authority to stabilize the dollar by buying currencies,” Porter posted on X on 15 December. “Trump will use this fund to buy Bitcoin,” he stated, also adding that his team would sponsor the initiative at state levels if necessary.
Trump’s appointments and meetings with key industry leaders such as Marszalek are strategic for his administration’s plans for the US crypto industry. Crypto.com’s withdrawal of the SEC lawsuit reflects the wider industry’s expectation for Trump’s promises.
Read also: The Pennsylvania Bitcoin Rights Bill: Role of digital rights advocates.
Jude Ayua is a policy analyst at CAB. A lawyer, Jude is an associate at Infusion Lawyers where he is a member of the Blockchain & Virtual Assets Group. He is also a member of the Policy & Regulations Committee of the Stakeholders in Blockchain Technology Association of Nigeria (SiBAN). Jude reports and writes on crypto policy and regulations. jude@infusionlawyers.com
