U.S. President Donald Trump has signed legislation prohibiting the issuance of federal central bank digital currencies (CBDCs), favoring private digital assets.
Ban on CBDC and Its Implications
On January 23, 2025, President Trump signed a law that bans the development of federal CBDCs in the U.S. This decision carries significant implications for the digital currency markets and may alter the structure of the financial system in the country.
Support for Private Digital Assets
Rather than supporting federal CBDCs, Trump insists on the need for innovation in the private sector. He stated that CBDCs threaten U.S. sovereignty and pledged commitment to private digital assets, which may lead to increased interest in this sector.
Regulatory Changes and Market Development
The President's Working Group on Digital Asset Markets plans to propose new regulatory structures, which should clarify rules and support innovation. The emergence of new regulatory approaches may provide opportunities for broader institutional participation in digital markets.
The decision to ban CBDCs and support private digital assets may significantly reshape the U.S. financial landscape, increasing interest in innovations and new opportunities in the digital asset market.
