Trump's Encryption Strategy: Locking in the stablecoin bill before August, accelerating the Bitcoin reserve plan.

According to CoinDesk, Bo Hines, the executive director of the U.S. Presidential Advisory Council on Digital Assets, revealed at the Consensus 2025 conference in Toronto that despite recent setbacks in the legislative process, President Donald Trump is still expected to sign the highly anticipated "Stablecoin and Market Structure Act" before Congress adjourns in August 2025. This statement not only injects confidence into the Crypto Assets industry but also marks a further acceleration of the U.S. strategic layout in the global digital finance competition. Meanwhile, the White House is accelerating the strategic Bitcoin reserve program, attempting to consolidate the U.S. leadership position in the Crypto Assets sector through policy innovation. However, the Trump family's connections to crypto projects have sparked controversy, and the tug-of-war between regulation and conflicts of interest casts a shadow over the legislative outlook.

Stablecoin Legislation: A New Battlefield for Dollar Hegemony

Stablecoins, as the core infrastructure of the crypto economy, have their regulatory framework directly impacting the position of the US dollar in the next generation financial system. Bo Hines clearly stated at the Consensus 2025 conference that the White House views stablecoin legislation as a priority, aiming to ensure that the US dollar continues to serve as the core tool for global payments and settlements. He pointed out that the Trump administration seeks to establish clear rules for stablecoin issuance through legislation while preventing the emerging financial system from bypassing US dollar settlements, thereby threatening America's financial dominance.

On May 14, 2025, multiple industry insiders on platform X cited statements from Trump's advisory team, emphasizing that the U.S. bottom line is "we can bypass SWIFT, but we cannot bypass the dollar." This position reflects the White House's strategic positioning of stablecoins: embracing blockchain technology innovation while ensuring the dollar's anchoring position in the global financial system. According to a report by "Blockchain Weekly" on May 10, the Trump administration is closely coordinating with Congressional Republican leaders in an effort to finalize the details of the bill before August. Although the previous "GENIUS Act" was thwarted in the Senate due to Democratic opposition by a vote of 48 to 49, Hines expressed optimism, stating that current negotiations have made progress and some differences are being bridged.

The core objectives of the bill include: establishing a federal regulatory framework for stablecoin issuance, clarifying the qualifications of issuers, the transparency of reserves, and anti-money laundering requirements; while also providing legal clarity for the structure of the Crypto Assets market and regulating the operations of trading platforms and custodians.

Strategic Bitcoin Reserve: From Concept to Reality

Alongside the legislation for stablecoins, there is the Strategic Bitcoin Reserve (SBR) initiative strongly advocated by the Trump administration. Trump signed an executive order to officially incorporate approximately 200,000 Bitcoins (worth about $17 billion) held by the federal government into the national reserve system, promising "never to sell off." Bo Hines further revealed at the Consensus 2025 conference that the White House has formed a dedicated task force to account for the Bitcoins in federal assets and explore the possibility of increasing holdings through forfeiture procedures or other means.

According to a report by Sina Finance on May 12, 26 states in the United States have passed legislation supporting Bitcoin reserves, with Arizona being the first to become a pilot. This "Bitcoin reserve trend" is seen as an extension of the Trump administration incorporating Crypto Assets into national strategic assets, aimed at hedging against the inflation risk of the dollar and seizing global digital asset discourse power.

Trump family's crypto business: conflict of interest controversy escalates

On May 15, news from platform X indicated that Democratic members of the U.S. House of Representatives have sent a letter to the Treasury Department requesting a suspicious activity report on Trump's encryption project, questioning whether his team may have used presidential influence to pave the way for family business. Senate Democrats have also intensified their resistance to stablecoin legislation due to the Trump family's involvement with coins. In response, Bo Hines firmly stated at Consensus 2025 that Trump's sons, as private entrepreneurs, have the right to participate in market competition, and the U.S. president is "not for sale." He further argued that the Trump family's encryption project is unrelated to the legislative process, and the allegations of conflicts of interest are purely political smear tactics.

Market and Global Impact: Opportunities and Challenges Coexist

The stablecoin and market structure bill, if implemented before August, will have a profound impact on the global Crypto Assets market. On one hand, a clear regulatory framework is expected to attract more institutional funds into the U.S. market, pushing the Crypto Assets industry from "barbaric growth" towards normalized development. On the other hand, overly strict compliance requirements may force small and medium-sized Crypto Assets companies to go overseas, weakening the innovation vitality in the U.S. Additionally, the promotion of the strategic Bitcoin reserve plan may further stimulate countries around the world to follow suit, forming a "digital gold" competition pattern.

This article represents only the author's personal views and does not represent the stance or views of this platform. This article is for informational sharing only and does not constitute any investment advice to anyone.

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