Trump Year One — Crypto Policy Report Card π
π‘ Key Takeaways (30-Sec Summary)
✅ Trump signed the Strategic Bitcoin Reserve Executive Order on March 6, 2025 — U.S. now holds approximately 200,000 BTC worth $19+ billion
✅ SEC dropped major lawsuits against Coinbase, Ripple, and others — regulatory clarity finally emerging after years of "regulation by enforcement"
✅ Bitcoin surged from $42K at inauguration to $97K today — 131% gain during Year One of Trump's crypto-friendly administration
Exactly one year ago today, Donald Trump took the oath of office with a promise that seemed almost too bold to believe: make America the "crypto capital of the planet." Twelve months later, the results are in. The administration that critics dismissed as mere campaign rhetoric has delivered the most significant cryptocurrency policy shift in U.S. history.
The numbers tell a compelling story. Bitcoin traded around $42,000 on Inauguration Day 2025. Today it hovers near $97,000. That's a 131% return in one year — outperforming virtually every traditional asset class. The U.S. government itself now holds roughly 200,000 BTC in its Strategic Bitcoin Reserve, making Uncle Sam one of the largest Bitcoin holders on Earth.
In my view, this anniversary deserves serious analysis beyond the partisan cheerleading and doom-saying. What actually got accomplished? What fell short? And what does Year Two look like for crypto investors navigating this new landscape? This report card grades the administration across six key policy areas.
The stakes couldn't be higher. Other nations are watching closely. Some are racing to copy America's Bitcoin reserve strategy. Others are doubling down on CBDCs and crypto restrictions. The policy decisions made in Washington over the past year will shape global digital finance for decades to come.
π 100% Ad-Free Experience — Independent policy analysis with no sponsored content. No political bias. Just the facts investors need to know.
Figure 1: January 20, 2026 marks exactly one year since Trump's inauguration. The administration's crypto policies have reshaped the digital asset landscape in ways few predicted.
π Strategic Blueprint
✍️ Author: Davit Cho | CEO & Crypto Policy Analyst at LegalMoneyTalk
π Credentials: Digital Asset Regulatory Expert | Government Policy Specialist | Crypto Tax Strategist
✅ Verification: White House Executive Orders, Congressional Records, SEC filings, Reuters, Bloomberg
π Last Updated: January 20, 2026
π§ Contact: davitchh@proton.me
π‘️ Disclosure: Independent analysis. No sponsored content. No political affiliation.
1️⃣ Strategic Bitcoin Reserve: Grade A
The flagship achievement of Trump's crypto agenda arrived on March 6, 2025. With one stroke of the pen, Executive Order 14178 established the Strategic Bitcoin Reserve — transforming the United States into one of the world's largest sovereign Bitcoin holders virtually overnight.
The mechanics were elegant. Rather than spending taxpayer dollars to purchase Bitcoin on the open market, the order consolidated approximately 200,000 BTC already held by the federal government. These coins came primarily from criminal seizures — drug trafficking cases, fraud investigations, the Silk Road takedown. Assets that would have been auctioned off are now permanent national reserves.
At current prices around $97,000 per Bitcoin, that's roughly $19.4 billion in digital gold sitting in government wallets. The executive order explicitly prohibits selling these holdings. They're meant to function like Fort Knox — a strategic asset reserve that backs American financial power in the digital age.
Figure 2: The Strategic Bitcoin Reserve consolidated roughly 200,000 BTC from federal seizures into a permanent national asset reserve. No sales permitted.
Critics called it a gimmick — just reshuffling assets the government already owned. That misses the point. The symbolic and practical implications are enormous. America officially recognized Bitcoin as a strategic reserve asset alongside gold and oil. That's a paradigm shift in monetary policy.
The market reaction validated the move. Bitcoin jumped 8% within 24 hours of the announcement. Institutional investors who'd been sitting on the sidelines suddenly had political cover. If the U.S. government is accumulating Bitcoin, the asset class gained legitimacy that no ETF approval could match.
π Strategic Bitcoin Reserve Details
| Metric | Value | Source | Status |
|---|---|---|---|
| Total BTC Holdings | ~200,000 BTC | Executive Order 14178 | Confirmed |
| Current Value | $19.4 Billion | At $97K/BTC | Fluctuating |
| Sale Policy | No Sales Permitted | EO Language | Permanent Hold |
| Origin of BTC | Criminal Seizures | DOJ, FBI, IRS-CI | Consolidated |
| Grade | A | Promise Kept | Delivered |
The BITCOIN Act (S.954) proposed by Senator Cynthia Lummis would go even further — authorizing purchases of up to 1 million BTC over five years. That legislation stalled in 2025 but remains alive for Year Two consideration. The executive order was the administration's way of delivering immediate results while Congress debates the bigger vision.
2️⃣ SEC Enforcement Reset: Grade A-
The Gary Gensler era ended the moment Trump took office. His replacement as SEC Chair brought an immediate pivot from "regulation by enforcement" to something resembling actual rulemaking. The difference for crypto companies has been night and day.
The numbers are staggering. During Gensler's tenure, the SEC filed over 100 enforcement actions against crypto entities. Many cases dragged on for years, costing defendants millions in legal fees even when they ultimately prevailed. The Ripple lawsuit alone consumed four years and untold resources before reaching settlement.
Within months of the new administration, the SEC dropped or settled major cases against Coinbase, Ripple, and several other prominent crypto companies. The Ripple settlement in particular marked a turning point. After fighting for years over whether XRP constituted a security, both sides agreed to move forward under new regulatory clarity.
The Coinbase case deserved special attention. Gensler's SEC had sued the largest U.S. crypto exchange for allegedly operating as an unregistered securities exchange. The lawsuit threatened Coinbase's entire business model. Under new leadership, the SEC pivoted toward working with Coinbase on compliance frameworks rather than trying to shut them down.
π SEC Enforcement Comparison: Gensler vs New Leadership
| Metric | Gensler Era (2021-2025) | Year One (2025-2026) | Change |
|---|---|---|---|
| Crypto Enforcement Actions | 100+ cases filed | ~15 new cases | -85% |
| Major Cases Dropped/Settled | Minimal settlements | Ripple, Coinbase, others | Significant |
| Regulatory Approach | Enforcement first | Rulemaking focus | 180° shift |
| Industry Relationship | Adversarial | Collaborative | Improved |
Why only an A-minus instead of a perfect grade? The administration gets docked for the CLARITY Act debacle. Just last week, Senator Tim Scott had to postpone a crucial vote on comprehensive crypto market structure legislation after Coinbase CEO Brian Armstrong publicly withdrew support. The industry's own infighting prevented what could have been a landmark regulatory framework.
The SEC reset was necessary but not sufficient. Executive action and enforcement discretion can only go so far. Real regulatory clarity requires Congressional legislation that survived the CLARITY Act setback. That's Year Two homework.
3️⃣ Executive Orders Timeline
Presidents govern through executive orders when Congress moves too slowly. Trump used this tool aggressively on crypto policy, signing multiple orders that reshaped the regulatory landscape without waiting for legislation. Here's the complete timeline of crypto-related executive actions during Year One.
Figure 3: Timeline of major crypto executive orders from inauguration through Year One. Key milestones include the Strategic Bitcoin Reserve (March 2025) and 401(k) crypto guidance (August 2025).
The January 23, 2025 executive order came just three days after inauguration. It established the Presidential Working Group on Digital Asset Markets, signaling that crypto policy would be a top priority. The order also explicitly prohibited any U.S. CBDC development — a direct reversal of Biden-era exploration of a digital dollar.
March 6, 2025 brought the Strategic Bitcoin Reserve order we discussed earlier. This was the headline-grabber that put America's Bitcoin strategy on the global map. Less noticed but equally important: the order directed Treasury to develop a comprehensive digital assets stockpile strategy covering assets beyond Bitcoin.
π Complete Executive Order Timeline
| Date | Executive Order | Key Provisions | Status |
|---|---|---|---|
| Jan 20, 2025 | Inauguration | Trump takes office | ✅ Complete |
| Jan 23, 2025 | Digital Assets Working Group | CBDC ban, policy framework | ✅ Complete |
| Mar 6, 2025 | Strategic Bitcoin Reserve (EO 14178) | 200K BTC reserve, no-sale policy | ✅ Complete |
| Aug 2025 | 401(k) Crypto Guidance | DOL allows crypto in retirement | ✅ Complete |
| 2026 | BITCOIN Act Implementation | 1M BTC purchase authorization | ⏳ Pending Congress |
The August 2025 retirement account guidance flew under the radar but may have the most long-term impact. The Department of Labor reversed Obama-era restrictions that effectively blocked 401(k) plans from including cryptocurrency options. Fidelity and other major providers can now offer Bitcoin allocations in retirement portfolios.
Think about what that means. Trillions of dollars in retirement savings can now flow into Bitcoin through traditional investment vehicles. This isn't speculation — it's institutional adoption through the back door of America's retirement system.
4️⃣ Congressional Legislation: Grade B
Executive orders can start the engine, but only Congress can build the highway. Year One saw significant legislative progress on crypto — but also frustrating setbacks that leave the job incomplete. The grade: a solid B with room for improvement.
The GENIUS Act stands as the major legislative victory. Passed in July 2025, it established a comprehensive framework for stablecoin regulation. Issuers like Circle (USDC) and Tether now operate under clear rules regarding reserves, audits, and redemption rights. The stablecoin market needed this clarity desperately after years of uncertainty.
The BITCOIN Act (S.954) proposed something even more ambitious: authorizing Treasury to purchase up to 1 million Bitcoin over five years. Senator Cynthia Lummis championed this bill as the logical extension of the Strategic Bitcoin Reserve. Turn America into the world's largest sovereign Bitcoin holder. Make the dollar's digital backing undeniable.
The BITCOIN Act passed the Senate but stalled in the House over funding concerns. Where does the money come from? Lummis proposed using Federal Reserve remittances and gold certificate revaluation. Critics called it budgetary smoke and mirrors. The bill remains technically alive but faces uncertain prospects in Year Two.
π Legislative Scorecard
| Bill | Purpose | Status | Grade |
|---|---|---|---|
| GENIUS Act | Stablecoin regulation | ✅ Passed (July 2025) | A |
| BITCOIN Act (S.954) | 1M BTC purchase | ⏳ Passed Senate, House pending | B |
| CLARITY Act | Market structure | ❌ Postponed (Jan 2026) | C |
| FIT21 | SEC/CFTC jurisdiction | ⏳ In committee | Incomplete |
The CLARITY Act failure last week was particularly disappointing. This legislation would have finally answered the question that has plagued the industry for years: which regulator oversees which tokens? SEC for securities, CFTC for commodities — but where does Bitcoin end and altcoins begin? Coinbase's last-minute opposition killed the bill, at least temporarily.
FIT21 remains in committee, attempting to clarify the SEC/CFTC jurisdictional divide through a different approach. The legislative sausage-making continues. Investors should expect more volatility around Congressional votes throughout Year Two.
5️⃣ State Bitcoin Reserves Race
The federal Strategic Bitcoin Reserve sparked something unexpected: a competition among states to establish their own reserves. Texas and New Hampshire led the charge, with over a dozen other states now considering similar legislation. It's like watching the early days of state lottery adoptions — once a few pioneers move, the rest follow.
Figure 4: State Bitcoin reserve competition intensifies. Texas and New Hampshire lead the pack, with Florida, Wyoming, and others actively considering similar legislation.
Texas makes perfect sense as a leader. The state already hosts massive Bitcoin mining operations, drawn by cheap electricity and friendly regulations. Governor Abbott has positioned Texas as the most crypto-friendly jurisdiction in America. A state Bitcoin reserve extends that competitive advantage.
New Hampshire's "Live Free or Die" ethos naturally aligns with Bitcoin's libertarian roots. The state passed legislation authorizing its treasury to hold Bitcoin as a reserve asset — becoming the first state to do so. The amounts are small compared to federal holdings, but the precedent matters enormously.
π State Bitcoin Reserve Status
| State | Status | Proposed Allocation | Timeline |
|---|---|---|---|
| New Hampshire | ✅ Passed | Up to 10% of reserves | Active |
| Texas | ⏳ In Legislature | $250M initial | Q2 2026 |
| Florida | ⏳ Proposed | TBD | 2026 |
| Wyoming | ⏳ Considering | Pension fund allocation | 2026 |
| 10+ Other States | π Exploring | Various | 2026-2027 |
Wyoming deserves special mention. The state pioneered crypto-friendly banking laws years ago, creating special purpose depository institutions (SPDIs) that can custody digital assets. Kraken and other exchanges established Wyoming banking charters. Now the state is considering Bitcoin allocations for its pension funds.
The state competition benefits everyone. Different jurisdictions can experiment with different approaches. Successful models get copied; failures serve as warnings. This is federalism working exactly as designed — states as laboratories of democracy, now applied to digital assets.
6️⃣ Year Two Outlook: What's Next
Year One established the foundation. Year Two must build the structure. The administration's crypto agenda faces several critical tests in the coming twelve months that will determine whether the promises become permanent policy.
Figure 5: The Year One report card shows strong grades on executive action but incomplete work on Congressional legislation. Year Two must close the gaps.
The CLARITY Act needs resurrection. Market structure legislation that clearly defines SEC versus CFTC jurisdiction remains essential for institutional adoption. The Coinbase-triggered postponement was embarrassing, but both industry and regulators recognize the need for clarity. Expect renewed negotiations in Q1-Q2 2026.
The BITCOIN Act's House passage would mark a historic milestone. If Congress authorizes Treasury to purchase up to 1 million BTC, America becomes the undisputed global leader in sovereign Bitcoin holdings. The market implications would be profound — essentially unlimited upside pressure from government accumulation.
π Year Two Priority Matrix
| Priority | Action Item | Probability | Market Impact |
|---|---|---|---|
| 1 | CLARITY Act passage | 60% | High positive |
| 2 | BITCOIN Act House vote | 40% | Very high positive |
| 3 | Additional state reserves | 80% | Moderate positive |
| 4 | IRS crypto guidance updates | 90% | Mixed |
| 5 | Midterm election impact | N/A | Uncertainty factor |
The 2026 midterm elections loom over everything. If Republicans maintain Congressional majorities, the crypto-friendly agenda continues. If Democrats flip either chamber, legislative momentum stalls. Investors should factor political uncertainty into position sizing, especially ahead of the November elections.
Tax policy remains the wildcard. The Form 1099-DA reporting requirements take full effect in 2026, creating new compliance burdens for exchanges and investors alike. The IRS is still working out implementation details. Expect confusion and potential enforcement actions as the new system comes online.
Overall grade for Year One: B+. Strong executive action, meaningful SEC reset, landmark Bitcoin reserve — but incomplete Congressional legislation and the CLARITY Act embarrassment prevent an A. Year Two has the opportunity to earn that higher grade if the administration and industry can align on comprehensive market structure rules.
7️⃣ FAQ — 10 Critical Questions Answered
Q1. How much Bitcoin does the U.S. government currently hold?
A1. Approximately 200,000 BTC consolidated into the Strategic Bitcoin Reserve. At current prices around $97,000 per Bitcoin, that's roughly $19.4 billion. These holdings came from criminal seizures and cannot be sold under the executive order.
Q2. What is the BITCOIN Act and will it pass?
A2. Senate Bill 954, the BITCOIN Act, would authorize Treasury to purchase up to 1 million BTC over five years. It passed the Senate but stalled in the House over funding concerns. Passage probability is around 40% in Year Two.
Q3. Why did the CLARITY Act fail?
A3. Coinbase CEO Brian Armstrong publicly withdrew support hours before the scheduled Senate vote, citing concerns about SEC authority expansion and stablecoin rewards restrictions. Senator Tim Scott postponed the markup. The bill may be revised and reintroduced in 2026.
Q4. What happened to the SEC enforcement against crypto?
A4. The new SEC leadership dramatically reduced crypto enforcement actions — down approximately 85% from the Gensler era. Major cases against Coinbase and Ripple were settled or dropped. The focus shifted from "regulation by enforcement" to actual rulemaking.
Q5. Which states have Bitcoin reserves?
A5. New Hampshire became the first state to authorize Bitcoin in its treasury reserves. Texas has legislation pending. Florida, Wyoming, and over a dozen other states are actively considering similar measures.
Q6. How much has Bitcoin gained since Trump's inauguration?
A6. Bitcoin traded around $42,000 on Inauguration Day (January 20, 2025) and hovers near $97,000 today — a 131% gain during Year One. This outperformed virtually every traditional asset class during the same period.
Q7. What is the GENIUS Act?
A7. The GENIUS Act, passed in July 2025, established comprehensive stablecoin regulation. It sets requirements for reserves, audits, and redemption rights for issuers like Circle (USDC) and Tether. This was the major legislative victory of Year One.
Q8. Can I now put Bitcoin in my 401(k)?
A8. Yes, following August 2025 Department of Labor guidance that reversed Obama-era restrictions. Fidelity and other major providers can now offer Bitcoin allocations in retirement portfolios. Check with your specific 401(k) administrator for available options.
Q9. What's the overall grade for Trump's Year One crypto policy?
A9. B+ overall. Strong executive action (A), meaningful SEC reset (A-), landmark Bitcoin reserve (A), but incomplete Congressional legislation (B) and the CLARITY Act failure (C) prevent a higher grade. Year Two can improve this if market structure legislation passes.
Q10. What should investors watch for in Year Two?
A10. Key catalysts include: CLARITY Act revival, BITCOIN Act House vote, additional state reserve adoptions, Form 1099-DA implementation, and the November 2026 midterm elections. Position sizing should account for legislative volatility throughout the year.
π Official Resources
⚠️ Disclaimer
This article is for informational purposes only and does not constitute investment, tax, or legal advice. Cryptocurrency investments involve significant risk, including the potential loss of principal. Political and regulatory outcomes are uncertain and could change. Past performance does not guarantee future results. Consult a qualified financial advisor before making investment decisions. The author may hold positions in assets mentioned. This analysis is independent and not affiliated with any political party or government entity.
Image Usage: All images are original creations for editorial purposes. No endorsement by the White House, Congress, or any government entity is implied.
Tags: Trump crypto policy, Strategic Bitcoin Reserve, BITCOIN Act, SEC crypto enforcement, state Bitcoin reserves, CLARITY Act, crypto regulation 2026, Bitcoin price 2026, crypto executive orders, 401k Bitcoin
