Trump’s administration plans to create the first Senate crypto subcommittee, chaired by pro-crypto Senator Cynthia Lummis, to shape industry regulations.
The U.S. Senate Banking Committee, led by Senator Tim Scott, is preparing to create the first-ever subcommittee dedicated to cryptocurrency. This unit will be modeled on the House Financial Services Committee led by Patrick McHenry in 2023. Reports indicate that Republican Senator Cynthia Lummis of Wyoming will chair the new subcommittee, with members to be chosen through a committee vote soon.
This move is seen as a significant step forward for U.S. crypto regulations, aligning with the Trump administration’s pro-crypto stance. With the inauguration just two weeks away, Trump’s team is expected to advance several crypto-friendly regulatory initiatives.
The subcommittee aims to establish clear and consistent rules for the crypto industry, focusing on consumer protection and fostering innovation. Senator Lummis is widely regarded as an excellent choice for this role, given her deep understanding of the crypto sector and pragmatic approach. Sheila Warren, CEO of the Crypto Council for Innovation, praised Lummis, saying her leadership could deliver effective regulations that balance innovation with accountability.
The initiative is also expected to address economic opportunities and financial inclusion while ensuring that regulations don’t hinder technological advancements. Senator Scott has highlighted crypto’s potential to democratize finance, showing his ongoing support for the industry.
Meanwhile, crypto companies are aligning with the incoming administration. High-profile figures and firms have contributed to Trump’s inaugural fund, with Circle donating $1 million in USDC and Ripple giving $5 million. Other donors include Kraken, Robinhood, and Ondo Finance. These contributions underline the growing influence of the crypto sector in shaping policy discussions.
Senator Lummis’s appointment aligns with her pro-crypto stance, which was prominent during her election campaign. She has advocated for strategic Bitcoin reserves and even suggested selling some of the Federal Reserve’s gold to acquire Bitcoin. Trump has similarly expressed interest in establishing national Bitcoin reserves, though this would require congressional approval.
In a potentially adversarial move, the current administration announced plans to sell $6.7 billion worth of Bitcoin seized from the Silk Road. This could complicate Trump’s efforts to establish Bitcoin reserves once in office.
Trump’s team has already made significant appointments, including naming David Sacks as the first-ever White House Crypto Czar. Additionally, Gary Gensler is set to step down as SEC Chair on inauguration day, with Paul Atkins expected to take over.
The creation of the Senate crypto subcommittee, combined with these other developments, signals a promising future for the U.S. crypto industry in 2025.
All content is for informational purposes only and does not constitute financial advice. Always conduct your own research and consult a professional before investing.
Recommended Content
Editors’ Picks

Why Solana, XRP, Dogecoin and BNB are crashing?
Solana (SOL), XRP, Dogecoin (DOGE) and Binance Coin (BNB) decline on Tuesday. Top altcoins ranked by market capitalization are in a downward trend, even though Bitcoin (BTC) continues to consolidate around the $95,000 level.

Bitcoin Price Forecast: BTC consolidates as options market awaits policy clarity
Bitcoin (BTC) has been consolidating between $94,000 and $100,000 for nearly two weeks, with reports from Bitfinex indicating increased macro-correlation and maturity as a risk asset.

Real-World Assets outperform the AI sector in the crypto market over the past month
Real-World Assets (RWAs) outperformed the Artificial Intelligence (AI) sector in the crypto market over the past month, with a weighted average gain of 15.6% in January.

Storj Price Forecast: Bulls aiming for double-digit gains
Storj (STORJ), an open-source platform that leverages the blockchain to provide end-to-end encrypted cloud storage services, continues to trade higher by 4.4%, around $0.39 on Tuesday after rallying 5% the previous day.

Bitcoin: BTC consolidates before a big move
Bitcoin price has been consolidating between $94,000 and $100,000 for the last ten days. US Bitcoin spot ETF data recorded a total net outflow of $650.80 million until Thursday.

The Best Brokers of the Year
SPONSORED Explore top-quality choices worldwide and locally. Compare key features like spreads, leverage, and platforms. Find the right broker for your needs, whether trading CFDs, Forex pairs like EUR/USD, or commodities like Gold.