CONGRESS

Digital Assets Executive Order

• Senate Banking Chair Tim Scott (R-SC) issued a statement saying, “Voters across the country were clear in November: they want access to digital assets and a clear regulatory framework for the industry. Just days into his administration, President Trump is delivering on his promises, creating the first President’s Working Group on Digital Asset Markets to ensure the federal government is working together to keep the United States a leader in digital assets innovation and to protect Americans from unlawful government surveillance. As Chairman of the Senate Banking Committee, I look forward to partnering with President Trump and his team to bring clarity, choice, and opportunity to this important sector of our 21st century economy” (Press release)

• House Financial Services Chair French Hill (R-AR) and Digital Assets, Financial Technology, and Artificial Intelligence Subcommittee Chair Bryan Steil (R-WI) released a press statement saying, “We applaud President Trump for taking important steps to ensure America remains a leader in digital financial technology on the international stage. The President’s Working Group on Digital Asset Markets will strengthen U.S. leadership and allow for critical collaboration among Congress, key officials, and agencies to make sure we get this right. As former SEC Chair Gensler continually ruled by enforcement, we worked tirelessly to combat the agency’s harmful actions against the digital asset ecosystem and pass meaningful legislation that would create a functional regulatory framework for digital assets. We have also worked with other members of the House Financial Services Committee to prohibit a Central Bank Digital Currency (CBDC) from being issued in the United States. President Trump’s Executive Order solidifies that we are in lockstep when it comes to protecting the financial privacy of Americans. As leaders of this Committee on digital assets, we look forward to working with the Trump Administration as we coordinate on crafting legislation to provide much needed clarity and protections for consumers and investors while securing the United States as the trailblazer in digital financial innovation. (Press release)

• Sen. Cynthia Lummis (R-WY) issued a press statement saying, “President Trump has promised to make this administration the most pro-digital asset in U.S. history, and within these first days, he is already fulfilling that promise with this executive order,” said Lummis. “Under President Trump’s leadership, the United States will be the global leader in financial innovation and digital asset advancement. I look forward to working with President Trump and my colleagues to pass bipartisan bitcoin and digital asset legislation in the coming months, and ensuring regulatory overreach like SAB 121, Operation Chokepoint 2.0 and lawsuits against digital asset companies are resolved.” (Press release)

• Rep. Warren Davidson (R-OH) issued a press statement saying, “Under former President Biden and Gary Gensler, digital assets were constantly under attack. Today’s Executive Orders on digital assets display real leadership. President Trump’s actions will renew growth and innovation in the United States. With President Trump in the White House and a Republican majority in Congress, the time to achieve meaningful progress for the digital asset industry is now. I look forward to working with my colleagues to draft and pass legislation that allows America to become the world leader in digital assets.” (Press release)

• Retweeting the White House announcement, Rep. Zach Nunn tweeted, “As a member of FinancialCmte and HouseAgGOP, I’m ready to work with the Administration to boost innovation, protect consumers, and cement America as the leader in digital technology. Let’s get to work!”

• Sen. Bill Hagerty (R-TN) tweeted, “It’s the dawn of a new era for digital assets. This is a groundbreaking moment for crypto innovation in America”

• Sen. Mike Lee (R-UT) tweeted, “Outstanding EO by President Trump banning the creation of a government-run digital currency, protecting Americans’ privacy and financial freedom. This is exactly what my No Central Bank Digital Currency Act was crafted to achieve.”

• Rep. Tom Emmer (R-MN) tweeted, “From persecution to prosperity, the United States WILL be the crypto capital of the world.”

• House Committee on Agriculture tweeted, “POTUS signs an Executive Order, “Strengthening American Leadership in Digital Financial Technology” which will make the United States the crypto capital of the world!” and tweeted, “Thank you POTUS! We’re ready to work on a clear, functional regulatory framework for digital assets that fosters innovation & protects consumers. Congress has an opportunity to reinforce America’s position as a global leader in blockchain technology.”

• Rep. Lisa McClain (R-MI) tweeted, “President Trump’s newly-created crypto task force will provide regulatory clarity for the industry. I’m excited to play a part in shaping the future of crypto in America as a member of FinancialCmte.”

SAB 121

• Sen. Cynthia Lummis (R-WY) tweeted, “SAB 121 was disastrous for the banking industry, and only stunted American innovation and advancement of digital assets. I am THRILLED to see it repealed and get the SEC back on track to fulfilling its intended mission.”

• Rep. Mike Flood (R-NE) issued a press statement saying, “For four years, SEC Chair Gary Gensler and the Biden administration used regulation by enforcement and regulation by guidance as a tactic to suppress and target digital assets. SAB 121 is a prime example of Chairman Gensler’s regulatory overreach. Over the last two years, I worked to build a bipartisan, bicameral consensus to overturn this harmful rule. Unfortunately, after passing the House and Senate, my resolution rescinding SAB 121 was vetoed by President Joe Biden. Today is a new day for digital assets. Rescinding SAB 121 opens up a new era for cryptocurrency and our digital financial future. This is just the beginning. I look forward to working with President Trump and my colleagues in Congress as we pave the way for digital innovation and work to get a digital assets framework in place in the coming months.” (Press release)

Senate Banking and House Financial Services Ranking Member Approaches

• On his overall approach to digital assets as Ranking Member of the Senate Banking Subcommittee on Digital Assets, Sen. Ruben Gallego (D-AZ) said, “It is effectively going to be in our economy no matter what we do with it,” So laying down the rules of the road and really making sure that we have transparency, that we have logical regulation — and that also still allows innovation, while keeping the crypto blockchain technology and innovation economy in the United States, is really important. Having someone who is curious enough, like me, but not dangerous enough to know too much is, I think, very helpful.” (Politico) 

• On his approach as Ranking Member of the House Financial Services Subcommittee on Digital Assets, Financial Technology and Artificial Intelligence, Rep. Stephen Lynch (D-MA) said, “While the new Trump Administration has already demonstrated its intent to implement crypto-friendly regulations, the recent failures of FTX, BlockFI, Celsius, and other crypto firms demand that we develop common sense legislation to ensure that American investors and consumers and the U.S. financial system are not exploited by fraudulent, speculative, and deceptive industry practices.” (Press release)

Debanking

• Senate Banking Chair Tim Scott (R-SC) announced the committee’s upcoming hearing on debanking, saying, “Debanking is un-American – every legal business deserves to be treated the same regardless of their political beliefs. Unfortunately, under Operation Chokepoint 2.0, Biden regulators abused their power and forced financial institutions to cut off services to digital asset firms, political figures, and conservative-aligned businesses and individuals. This is unacceptable. As Chairman of the Senate Banking Committee, I look forward to working with President Trump, industry leaders, and members of both parties to stop these abuses.” (Press release)

• Scott also issued a statement ahead of the Senate Banking Committee’s hearing on debanking to “encouraging businesses and individuals who have been debanked to report allegations to his committee staff” saying, “As Chairman of the Senate Banking Committee, I’m committed to ensuring Americans who have been debanked have their voices heard, and to prevent chokepoint activities from happening in the future. If you have been debanked, I encourage you to reach out to my staff through our confidential whistleblower resource. Working together, we can ensure bad actors who have exploited their power are held accountable.” (Press release)

• Scott also tweeted video remarks and said, “Cutting off banking services to digital asset firms, political figures, and conservative-aligned businesses and individuals is unacceptable and un-American. Stay tuned: On February 5, BankingGOP will be holding a hearing on debanking.”

• Regarding the upcoming hearing on debanking, Ranking Member Ruben Gallego (D-AZ) said, “We also have to hear from the FDIC about how this affects stress tests and things of that nature.” (Politico)

• Rep. Dan Meuser (R-PA) tweeted, “Debanking – targeting and cutting off access to financial services undermines industries and livelihoods. We’ve seen this trend across sectors like digital assets, energy, and firearms manufacturing.    Such actions, often under regulatory pressure, are not just inappropriate—they’re unfair, anti-competitive, and contrary to the principles of a free market. Our financial system is the envy of the world, and I will continue to scrutinize any efforts that erode its foundation of fairness and opportunity.”

Sen. Cynthia Lummis Approach to Senate Banking Subcommittee on Digital Assets

• In a revealing interview with Politico, Sen. Cynthia Lummis (R-WY) said,
  • On the Senate Banking Digital Assets Subcommittee’s legislative priorities: “Our legislative priorities are a stablecoin bill, which we were working on until the 11th hour of the last Congress, but couldn’t get across the finish line. We’re working as a subcommittee and a committee to get the regulatory framework passed. It will be, probably, some melding of [the House-passed regulatory framework known as] FIT 21 and [the] Lummis-Gillibrand [bill]. We are busy right now trying to make suggestions that we pull out of [the tax title in] Lummis-Gillibrand to get into reconciliation, because they affect the financial bottom line — for example, the wash-sale rule, and the definition of broker that was passed three years ago [that requires bitcoin miners to report tax gains and losses to the IRS]. There’s nothing to report. It’s the stupidest rule.”
  • On engagement with the digital assets industry: “I think they finally get how hard it is to legislate, how hard it is to get something passed — and that if they’re not on the same page, they’re done. It makes our job almost impossible if they’re not on the same page. So I hope that they’ll get there. And I think that there is some difference of opinion, going back to where we started this conversation, about ancillary assets. And I think that there’s some difference of opinion within the industry about that. And man, I hope they can speak with one voice.”
  • About what she would change in FIT21: “I still like the idea of the ancillary assets as an alternative to a rigid line between what is a security and what is a commodity, because things are going to come along that just don’t fit neatly in one category or the other.”
  • About what she would change in the House-passed stablecoin legislation: “Their approach has pretty significant involvement by Fed. I would want to keep the Fed’s role tamped down a little bit and make sure I protected the dual banking system so states are not overwhelmed by federal regulators.” (Politico)

• Lummis tweeted, “The Senate Banking digital asset subcommittee will:  Pass legislation promoting responsible innovation and consumer protection; Eradicate Operation Chokepoint 2.0; Make America the bitcoin and digital asset capital of the world.”

Trump Memecoins

• On his memecoin, President Trump said at a press conference, “I don’t know much about it other than I launched it.” (TIME)

• House Financial Services Ranking Member Maxine Waters (D-CA) issued a press statement entitled, “$TRUMP: This Represents the Worst of Crypto” stating, “On January 17, 2025, just days before his inauguration, President Trump launched the so-called ‘TRUMP MEME’ crypto token ($TRUMP) and reportedly increased his personal wealth 10-fold from unknown buyers around the world. This meme coin represents the worst of crypto and shows why many regulators, advocates, and policymakers have long been worried. For one, this meme coin serves no purpose and only has value because of Trump’s name and his position. Investors, who may see this coin as a way to get rich quick, may be overpaying for something of dubious value, and will be left holding the bag when Trump’s insiders sell. Moreover, the coin’s terms and conditions block buyers from bringing class action lawsuits even if they are swindled. There is also a troubling lack of transparency around the buyers of this coin. Through his meme coin, Trump has created a way to circumvent national security and anti-corruption laws, allowing interested parties to anonymously transfer money to him and his inner circle. Buyers could include large corporations, allied nations who are pressed to show their ‘respect’ for the President, and our adversaries, like Russia and China, which have much to gain from influencing a Trump presidency. Anyone globally, even individuals who have been sanctioned by the U.S. or banned from our capital markets, can now trade and profit off of $TRUMP through various unregulated platforms. These actions by President Trump will also further taint the crypto industry, which has long fought for legitimacy and a level playing field with other financial institutions. The launch and sale of this coin is yet another reason why all Americans and policymakers should exercise extreme caution on crypto, and why Congress must be vigilant for when the rug is pulled out from under the Americans invested in this scheme.” (Press release)

• Rep. Darren Soto (D-FL) tweeted, “$TRUMP is a blatant corruption scheme that makes a mockery of valid cryptocurrency. So is $MELANIA. Instead of draining the swamp, he’s given it memecoins. Foreign investment in these coins is already banned under the Emoluments Clause. Buyer beware.”

• House Energy and Commerce Committee Ranking Member Frank Pallone (D-NJ) tweeted, “Launching a crypto coin affiliated with the Trump Organization days before the inauguration is a clear example of Trump profiting off his presidency. He should spend his time working to lower costs for everyday Americans instead.”

• Rep. Bill Foster (D-IL) tweeted, “If any Member of Congress tried to do something like Trump’s meme coin, they would have serious questions to answer. Fortunately for Trump, he can pardon himself—or have his Supreme Court do it for him.”

• Rep. Don Beyer (D-VA) tweeted, “Trump’s executive actions are bad ideas, many of dubious legality, clearly unconstitutional, or poorly drafted. Some will raise costs. Trump was evidently more interested in scamming his supporters with meme coins than he was in following through on promises to address inflation.”

• Rep. Ro Khanna (D-CA) tweeted, “Elected officials must be barred from having meme coins by law. Meme coins are highly speculative and like gambling must be regulated by the SEC. They are neither neutral money (not controlled by insiders) nor platforms for innovation.”

Miscellaneous

• During the House Financial Services organizational meeting, Chair French Hill (R-AR) said, “We will bring legal clarity to digital assets, providing innovators with new tools to build decentralized financial products and services that empower people to help one another and ensure America remains a leader in this space.” (Press release)

• House Financial Services Committee R-AR) released a statement in response to Acting FDIC Chairman Travis Hill’s outline of priorities, saying, “I congratulate Travis Hill on his designation as Acting Chairman of the FDIC. The priorities Acting Chairman Travis Hill outlined this week demonstrate that he understands how critically important it is that the FDIC focus on its mission of maintaining stability and public confidence in our nation’s financial system. I look forward to working with the FDIC to ensure that banks of all sizes can serve communities across our nation and remain a source of strength for our economy.” (Press release)

• Sen. Sheldon Whitehouse (D-RI) issued a press statement on the inauguration of President Trump, saying, “This was no normal inauguration of an American president. President Trump gave a cadre of billionaires seats of honor on the dais, and he is handing them the power of the federal government to loot the hardworking people who pay their taxes and keep this country running. The incoming president just created a cryptocurrency to enrich himself as he takes office.” (Press release)

• Financial Services GOP tweeted, “NEW: Chairman RepFrenchHill and RepBryanSteil: ‘As leaders of this Committee on digital assets, we look forward to working with the Trump Administration as we coordinate on crafting legislation to provide much needed clarity and protections for consumers and investors while securing the US as the trailblazer in digital financial innovation.’”

• Retweeting remarks about COVID-related AI tools, Rep. Warren Davidson (R-OH) tweeted, “If we had a dystopian government, this is the sort of project they would be promoting. Maybe coupled with a Central Bank Digital Currency, digital ID, and a surveillance state.”

• Sen. Cynthia Lummis (R-WY) tweeted, “I told you this was the year for Bitcoin and digital assets.”

• Lummis also tweeted, “As we learn the extent – and the injustices – of Chokepoint 2.0, I will be working closely with FDIC Vice Chair Travis Hill to put an end to this assault on digital assets.”

• Lummis also tweeted, “Exciting news! Looking forward to working with SEC Acting Chair Mark Uyeda, HesterPeirce and the Trump administration to set clear rules for the digital assets industry to ensure the U.S. remains a global leader in financial innovation.”

• Rep. Melanie Stansbury (D-NM) tweeted, “Trump signs an EO to deregulate crypto and prohibit centralized management. What could possibly go wrong? … Y’all heard of the Crash of ‘29 and 2008?”

• Retweeting a Wired article about Trump’s pardon of Silk Road founder Ross Ulbricht, Rep. Brad Sherman (D-CA) tweeted, “Narcotics have ruined millions of American lives and caused many thousands of violent crimes. Narcotics are just as evil if they are purchased online or using crypto.”

• Oversight Committee Dems retweeted a Huffpost article and tweeted, “From sketchy crypto offerings to Persian Gulf nations investing billions with Jared Kushner, Trump’s growing conflicts of interest should concern everyone in Congress. Chairman Comer must stand by his presidential ethics bill and investigate.”

• Rep. Jim Himes (D-CT) tweeted, “So glad to see so many of President Trump’s supporters touring the capitol today. I felt really badly as they (and many of my constituents) shivered in the arctic cold yesterday as Zuckerberg, Bezos and the crypto bros got the royal treatment inside.”