The Blockchain Association, a leading trade group representing more than 100 cryptocurrency organizations, publicly appealed to President Trump and the newly elected Congress on November 22.
The association advocates for effective regulatory reforms to support the cryptocurrency industry. After years of challenges, they hope for a friendlier regulatory environment. In the letter, the group outlined a five-point reform plan. The proposal aims to restructure federal oversight of the cryptocurrency industry to encourage innovation and growth.
“For years, U.S. cryptocurrency innovators have been targeted and, in some cases, pushed overseas by a hostile regulatory regime,” the letter – the letter stated. It expressed hope that the new administration could change that.
The association also criticized what it described as “debanking” of cryptocurrency companies. It said that many of them have restricted access to traditional banking services, making it difficult to manage operations such as paying employees and paying taxes. It called for an end to this practice to allow companies in the sector to operate more smoothly.
Changes in the leadership of the Securities and Exchange Commission (SEC) and the Treasury Department were also a priority. The association pointed to the SEC’s enforcement-based approach under the current leadership, which stifled innovation.
It also called for changing the SEC’s strict accounting guidelines and improving tax policies at the Treasury and IRS to prevent blockchain companies from moving overseas. The group proposed the creation of a cryptocurrency advisory board to bridge the gap between government and industry.
This council would work with Congress and regulatory agencies to develop policies that balance regulatory oversight with technological development.
Trump administration seen as beacon of hope for cryptocurrency regulatory reform
on October 31, the Blockchain Association revealed that the SEC has cost companies nearly half a billion dollars in legal expenses related to lawsuits involving digital assets. According to an October 31 update on the BA’s “regulation by enforce” page, the SEC has filed 104 cases against the cryptocurrency sector between 2021 and 2023.
The group highlighted that its member companies, representing only a “small slice of the industry,” reported spending about $426 million on defense lawsuits during that period. The BA’s findings come as the cryptocurrency industry turns to President-elect Donald Trump for regulatory reform.
