JPMorgan analysts have identified six key regulatory and market changes in the cryptocurrency industry under the Trump administration that could reshape the industry and congressional leadership. These changes include the potential approval of stalled cryptocurrency bills like the Financial Innovation and Technology for the 21st Century Act (FIT21), which could provide regulatory clarity to the industry.
The SEC’s strategy of increased enforcement may evolve into a more collaborative approach, potentially reducing litigation risk for the broader crypto industry. Additionally, the SEC may require the resolution of lawsuits regarding unregistered securities and the launch of futures-based ETFs before approving spot ETFs.
Clearer regulation could lead to increased investment, mergers and acquisitions, and initial public offerings in the cryptocurrency space. However, the likelihood of passing the Strategic Bitcoin Reserve is low.
