Executive Order to Promote Crypto and Digital Economy in the USA

President Trump recently signed an executive order for U.S. leadership in digital assets while providing regulatory clarity and support for the digital economy. This executive order, in essence, is focused on promoting cryptocurrency and blockchain. As many Americans anticipated, this order made a dramatic 180-degree turn to promote rather than restrict digital assets by rescinding the 2022 one. The online gambling and sports betting sectors expect tangible benefits as a new status quo emerges, even as cryptocurrency use rises.

Key Details

Immediately after taking office, President Trump signed several executive orders to reverse the policies of former President Biden. A major executive order was "Strengthening American Leadership in Digital Financial Technology." This executive order created the Presidential Working Group on Digital Asset Markets to oversee the federal regulatory framework for digital assets.

As promised during the campaigns, this new order revokes Executive Order 14067 of March 9, 2022, “Ensuring Responsible Development of Digital Assets,” which sought to regulate digital assets and imposed preventative measures to address any apparent illicit finance. On July 7, 2022, the Order officially repealed the Department of the Treasury’s “Framework for International Engagement on Digital Assets,” which called for interagency and international coordination toward those ends. 

One key aspect of the new executive order is examining a national digital asset stockpile that may contain crypto confiscated by law enforcement. The order also aims to protect cryptocurrency companies' access to banking services. 

Impact Analysis

President Trump’s decision will impact the gambling and sports betting industries significantly. Many online casinos and sportsbooks already accept multiple cryptocurrencies, in particular Bitcoin and Ether, which is an indication that cryptocurrency has found a place in online betting. Eliminating legal obstacles helps the new regulation to accelerate this trend. Digital wallets are likely to be embraced by more betting sites.

Online casino operators found it easier to access banking services after the order went into effect as it became less arduous to integrate crypto payments. As far as casino and sports betting players are concerned, the executive order will enhance gaming experience. Gamer’s now anticipate speedier transactions with lesser charges, and smooth transactions as the gambling sector uses digital currencies more often.

Digital Currencies in Gambling: Background and Context

The U.S. has been grappling with the regulation of digital assets. Under Biden, the government focused on fighting illicit finance and enhancing consumer protection. President Biden's Executive Order 14067 called for a cautious response, which derived support from the Treasury’s international framework seeking worldwide cooperation on cryptocurrency supervision.

Conversely, Trump and his team believed the opposite. Although he once called it a scam, he flipped his earlier crypto skepticism. During his political campaign, Trump guaranteed to turn the country into the “crypto capital of the planet.”

Crypto has always been an important part of the gambling industry. It provides faster, anonymous, and other benefits that fiat currency cannot offer. Sadly, SEC enforcement and banking regulations targeting the gambling industry made it tough for many operators to use crypto. Trump's new executive order has changed the course and ushered in positive growth.

Reactions from Stakeholders

The reaction to Executive Order 14178 has been ecstatic. Now that there’s clarity and less red tape, industry leaders, especially those with crypto infrastructure, are viewing it as a prelude to a market surge after signing the order. It is believed that a multitude of banks will soon adopt payments in Cryptos, which will benefit the betting operators who accept cryptos.

Likewise, many legislators praised the new system, mostly because it represents Trump's vision to guarantee America's leadership in digital finance. Going forward, laws pertaining to the dawning era of cryptocurrency payments will be simpler to create and pass. 

Players are also happy that the government has changed its stance on digital currencies. On social media platforms, gambling enthusiasts feel it is the beginning of a “golden age”, in which crypto betting will dominate.

Potential Future Implications

The newly signed executive order will likely affect different angles of the gambling industry in the short and long term. First of all, it enables sportsbooks and casinos to innovate.  We can anticipate that gaming platforms will increase the number of cryptocurrencies and related promotional incentives offered to players. Players will benefit from lower costs and quicker payouts as platforms add more digital currencies.

The new scenario might also increase investment into the online gambling sector. Because of uncertainty around cryptocurrency, venture capital has been reluctant to back gambling innovation. Nonetheless, the new executive order makes blockchain-based startups more welcome now.

Conclusion

Trump's executive orders have revamped the digital economy in the US, so encouraging a power play for the sports betting and casino sectors. The crypto environment that follows gives operators space to be creative with their payment options. To players, this will mean quicker, less expensive, and more flexible betting choices. Gamblers' behavior and level of enjoyment when interacting with online casino games will improve. 

To learn more about how to gamble with cryptocurrency, check out our guide!