Trump Appoints David Sacks, Shifts US Crypto Policy, Bitcoin 10%

David Sacks, a South African entrepreneur with a background at PayPal, has been appointed by US President Donald Trump to a top tech job, focusing on AI and crypto. This appointment signals a shift in the US's approach to cryptocurrency, as the administration aims to make the nation a hub for web3 innovation. Trump, who has been a vocal supporter of Bitcoin and other cryptocurrencies, has shown a keen interest in leveraging the technology for economic gain, including through investment groups and memecoins.

Trump's administration has hit the ground running, with a focus on bringing various industries back to the US, including crypto. One of the first tasks for Sacks is to address stablecoin regulation, aiming to provide US businesses with greater regulatory clarity. This move is seen as an effort to bring stablecoin issuances back under US control, as many are currently denominated in USD but originate overseas. Senator Bill Hagerty is proposing a bill to provide new guidance on stablecoins, which could generate significant revenue for US-based stablecoins while helping to lower interest rates.

At the SEC, Hester Peirce, known for her pro-crypto stance, is leading the agency. Unlike her predecessor Gary Gensler, Peirce views crypto as an opportunity rather than a threat. Under her leadership, the SEC is focusing on practical steps such as clarifying the rules that constitute a digital asset being a security, rather than suing startups that issue tokens or engage in crypto staking. This shift in approach is seen as a move towards more innovation and less bureaucracy in the crypto space.

The Trump administration's approach to crypto regulation appears to be more collaborative than autocratic. A recent roundtable discussion involving US Senators and crypto figures, including Singularity Finance CEO Cloris Chen, highlighted the administration's goal of making the US more crypto-friendly. Topics discussed included tax reform, stablecoins, and tokenized assets, with a focus on reducing red tape and fostering innovation.

During the White House Crypto Summit in early March, President Trump pledged to roll back regulations on cryptocurrency and announced plans for a US Strategic Bitcoin Reserve (SBR). While the implementation of the SBR is complex and may take months, the appointment of figures like Sacks and Peirce signals a shift towards a more sensible approach to crypto policy. Even if some of Trump's bolder crypto pledges are delayed or canceled