Trump-Backed Panel Recommends Clearer Rules to Strengthen U.S. Digital Asset Markets

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A policy group formed under the leadership of former U.S. President Donald Trump has released a report recommending clearer regulations to strengthen the country’s digital asset market. Known as the Working Group on Digital Asset Markets, the panel was created through an executive order signed by Trump in January, aiming to establish the United States as a global hub for blockchain innovation and financial technology.

According to a White House fact sheet accompanying the group’s report, the recommendations focus on reducing regulatory uncertainty, encouraging innovation, and improving investor protections. The report calls for immediate action from U.S. financial regulators, including the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), to clarify rules on registration, custody, trading, and recordkeeping for digital assets.

Central to the group’s recommendations is the proposed Digital Asset Market Clarity Act, a legislative measure that would authorize the CFTC to regulate spot markets for digital assets that are not classified as securities. This proposal aims to close gaps in oversight and establish a consistent regulatory environment for businesses and investors operating in the crypto space.

In addition to clearer regulatory authority, the working group urges the adoption of innovation-friendly policies. These include “safe harbor” provisions that would allow blockchain startups and fintech developers to launch products without being immediately subject to complex regulations. The report suggests that such flexibility would help the U.S. maintain its competitive edge in the rapidly evolving digital economy.

The panel also recommends that federal banking regulators issue clearer guidance on how financial institutions can engage in activities involving stablecoins and blockchain applications. The report highlights the need for transparent rules regarding capital requirements and banking charters, particularly as digital asset firms increasingly seek to operate within the traditional financial system.

These developments follow Trump’s earlier support for congressional legislation that established regulatory standards for U.S. dollar-backed stablecoins. That bill, signed into law earlier this year, is seen as a major step toward integrating stablecoins into mainstream finance while ensuring proper oversight and consumer protection.

Supporters of the working group’s recommendations argue that a more coherent legal framework will attract investment, foster innovation, and strengthen the United States’ leadership in the global digital finance sector. The panel’s report is expected to inform future legislative and regulatory actions as the country navigates the challenges of a fast-changing financial landscape