- U.S. Crypto Czar David Sacks proposes federal rules for stablecoins, addressing industry demands for SEC clarity and onshore innovation.
- Regulatory framework aims to retain crypto firms domestically, separating compliant actors from fraud while boosting dollar dominance via stablecoins.
David Sacks, recently appointed to oversee U.S. digital asset policy, detailed plans to position the country as a global leader in cryptocurrency regulation and innovation. During a press conference, Sacks emphasized creating federal rules for digital assets, addressing industry demands for clarity after years of fragmented oversight.
The strategy prioritizes a unified regulatory framework for cryptocurrencies and stablecoins. Sacks noted that inconsistent enforcement by the Securities and Exchange Commission (SEC) drove many firms to relocate operations abroad. “Clear rules are the top request from industry leaders” he stated, referencing consultations with crypto founders who faced arbitrary legal challenges.
Sacks linked regulatory certainty to economic competitiveness. By retaining crypto firms domestically, the U.S. aims to nurture technological advancements while enhancing consumer protections. Onshore operations, he argued, allow regulators to distinguish compliant businesses from fraudulent ones more effectively.
Sacks asserted these dollar-pegged assets could reinforce the U.S. dollar’s global role by expanding its use in cross-border transactions. Increased adoption, he suggested, might boost demand for U.S. Treasury bonds, potentially lowering long-term borrowing costs.
The announcement responds to prolonged criticism from crypto executives
Companies like Ripple and Coinbase previously clashed with the SEC over ambiguous classification of tokens, leading to costly legal battles. Sacks’ plan seeks to mitigate such conflicts by defining jurisdictional boundaries between regulatory agencies.
However, challenges remain. Legislative gridlock has stalled past efforts to pass crypto-specific laws, including stablecoin oversight . Sacks did not specify timelines but reiterated the administration’s commitment to bipartisan collaboration.
Industry reactions were cautiously optimistic. “Clarity protects consumers and encourages responsible innovation” said a spokesperson for the Blockchain Association, a trade group. Critics, however, warned that overly strict rules could stifle startups lacking resources to comply.
The strategy also addresses national security concerns. By monitoring domestic crypto activity, authorities aim to curb illicit finance while promoting transparency in decentralized markets. Sacks contrasted this approach with offshore hubs, where lax oversight enables money laundering and sanctions evasion.
Sacks closed by reaffirming the administration’s goals: securing the dollar’s dominance, fostering job growth, and positioning the U.S. at the forefront of financial technology. As global rivals like the EU finalize crypto regulations, the urgency to act intensifies.
Continuing with ETHNews reports , the plan signals a shift toward structured engagement with digital assets. Success hinges on balancing innovation with controls—a task requiring cooperation between policymakers, regulators, and industry stakeholders. With Sacks at the helm, the U.S. enters a pivotal phase in defining its role within the evolving crypto economy.
