Trump signed EO 14179 on day one establishing a Crypto Czar and directing the repeal of restrictive guidance. The SEC reversed SAB 121, dropped 89+ enforcement cases, and published a stablecoin non-security statement. The FDIC rescinded its notification requirements. The GENIUS Act is advancing in the Senate. This is the new regulatory environment and what it means for every crypto position.
The regulatory environment for crypto in April 2025 is categorically different from twelve months ago. Under Gary Gensler, the SEC filed 89+ enforcement actions and operated on the theory that nearly all digital assets were unregistered securities. Under Acting Chair Mark Uyeda and incoming Chair Paul Atkins, the SEC has dropped most of those cases, reversed SAB 121, published guidance that stablecoins are not securities, and established a Crypto Task Force led by Commissioner Hester Peirce to replace enforcement with rulemaking.
The change started on January 20, 2025, when President Trump signed Executive Order 14179 establishing a “Crypto Czar” (David Sacks as Special Advisor for AI and Crypto) and creating the President’s Working Group on Digital Assets with a mandate to identify and repeal restrictive guidance across all federal agencies within 30 days. The Working Group delivered. By April 2025, four major regulatory reversals have taken effect and more are in process.
| Agency | Key Action (Jan–Apr 2025) | What It Unlocks | Status |
|---|---|---|---|
| SEC | Reversed SAB 121 via SAB 122 (Feb 2025); dropped 89+ enforcement cases; published stablecoin non-security guidance (Apr 4); declared proof-of-work mining non-securities (Mar 20); established Crypto Task Force 2.0 | Bank crypto custody; stablecoin issuance without securities registration; mining without SEC oversight | Active — Rule-making mode |
| FDIC | Rescinded FIL 16-2022 notification requirement (Mar 28, 2025); FDIC-supervised banks can now engage in crypto activities under standard risk management without prior approval | Community and regional banks entering crypto without pre-approval bureaucracy | Done — Rescission complete |
| Federal Reserve | Withdrew supervisory letters SR 22-6 and SR 23-8 (Apr 24, 2025); crypto oversight shifted to routine supervision for state member banks | State member banks (e.g., Goldman’s bank subsidiary) engaging in crypto without dedicated prior approval letters | Done — Letters withdrawn |
| OCC | Reaffirmed bank authority to engage in crypto custody, stablecoin activity, and blockchain network participation under existing charters | National bank charters for crypto-native firms; existing banks adding crypto services without special approval | In Progress — Charters pending |
| CFTC | Acting Chair Pham deprioritized technical violation enforcement; signaled elevated CFTC role in digital commodity oversight pending CLARITY Act passage | DeFi and crypto derivatives with more CFTC oversight and less SEC enforcement uncertainty | Evolving — Legislation pending |
The GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins) is advancing through the Senate in April 2025 with bipartisan support. The bill would create the first comprehensive federal framework for payment stablecoins, requiring issuers to maintain 1:1 dollar reserves, submit to regular audits, register with either the OCC (for non-bank issuers above $10B) or their state regulator (for smaller issuers), and comply with BSA anti-money-laundering requirements.
The most consequential provision for market structure: the GENIUS Act explicitly designates covered stablecoins as not securities under federal securities law. This removes the regulatory overhang that has prevented banks from issuing stablecoins directly and gives institutional payment companies a clear compliance pathway. Circle is already MiCA-compliant in Europe; GENIUS Act passage would give USDC the same regulatory clarity domestically.