Trump administration releases digital asset policy report, outlining Crypto Assets regulatory blueprint

Since the request to establish a digital asset market working group in January of this year, the Trump administration has been brewing a highly anticipated report. This document, referred to as the "regulatory bible" by some crypto enthusiasts, was finally officially released on Wednesday (July 30).

This 166-page report details the policy framework for digital assets, mentioning Crypto Assets 391 times, Bitcoin 130 times, DeFi 32 times, and Ethereum 28 times. The report outlines a comprehensive regulatory roadmap for Crypto Assets, covering policy recommendations across multiple relevant areas, primarily divided into five major aspects:

1. Establish the United States' leadership position in the digital asset market

The report suggests that Congress should further legislate on the basis of the CLARITY Act, authorizing the CFTC to regulate the spot market for non-securities digital assets and recognizing the potential of DeFi technology. Meanwhile, the SEC and CFTC should use their existing powers to initiate digital asset trading at the federal level and provide clear guidance for market participants.

2. Update digital asset bank regulation

The government promises to end regulatory measures that hinder the provision of banking services to the digital asset industry. The report suggests restarting innovation in crypto assets, clarifying the scope of banks' activities in custody, tokenization, and ensuring that bank capital rules align with the actual risks of digital assets.

3. Consolidate the status of the US dollar

It is recommended that the Ministry of Finance and banking institutions quickly implement the "GENIUS Act" and call on Congress to pass the "Anti-Central Bank Digital Currency Surveillance State Act" to protect privacy and civil liberties.

4. Combat illegal financial activities in the digital age

The Ministry of Finance should clarify the obligations and reporting requirements of the "Bank Secrecy Act." Congress should emphasize the importance of self-custody and clarify the anti-money laundering obligations of participants in the DeFi ecosystem. Regulatory agencies should prevent abuse of power and protect citizens' privacy.

5. Ensure the fairness and predictability of digital asset taxation.

The Ministry of Finance and the National Taxation Bureau should issue guidelines on CAMT, packaged transactions, etc., to alleviate the burden on taxpayers. Congress should regard digital assets as a new asset class and modify the relevant tax rules.

The industry generally views this report as a positive signal of the Trump administration's direction for Crypto Assets policy. Ji Kim, CEO of the Crypto Innovation Council, stated that this marks the government's commitment to ensuring that the United States maintains a leading position in the Crypto Assets field. Rebecca Rettig, legal advisor at Jito Labs, also believes that this roadmap provides guidance for achieving regulatory transparency in the U.S. crypto industry.

However, despite being seen as a "major victory", the report did not reveal many new initiatives, nor did it delve into specific policy measures. Some key questions remain unanswered, such as the future scale of the federal government's Crypto Assets reserves. In addition, many market participants still face uncertainty as Congress has not yet passed the market structure bill.

Although this report may not fully meet expectations, as an American official said: "They have laid a solid foundation for the construction of this house." In the future, as more details are announced, the regulatory framework for the Crypto Assets industry will gradually become clearer.