The initiative is led by Representatives Ritchie Torres and Tom Emmer. Meanwhile, Donald Trump’s announcement of a US strategic crypto reserve, including Bitcoin, Ethereum, XRP, Solana, and Cardano, sparked industry debate about its impact and regulatory clarity. Coinbase is also concerned about regulation, and even recently filed a FOIA request seeking details on SEC spending for crypto enforcement actions. Lawmakers Establish Congressional Crypto Caucus The United States House of Representatives will see the formation of a new pro-crypto group, as Congressmen Ritchie Torres and Tom Emmer announced the launch of the Congressional Crypto Caucus . The bipartisan caucus will advocate for digital asset-friendly policies and serve as a voting bloc to rally support for key crypto legislation. Torres confirmed the news through a post on X on March 3, while Emmer’s office shared that the group will play a crucial role in advancing pending legislation, including stablecoin and market structure bills. The formation of this caucus comes as a more action-oriented counterpart to the existing Congressional Blockchain Caucus, which was established in the later years of the Obama administration to boost and encourage understanding of blockchain technology. While that group largely functioned as an educational and discussion platform, the Congressional Crypto Caucus will actively influence policy decisions by mobilizing votes in favor of digital asset regulation. Currently, lawmakers in the House are reviewing a draft bill that is designed to create a regulatory framework for stablecoins in the US. The legislation was introduced by Representatives French Hill and Bryan Steil on Feb. 7, adding to the growing momentum for clear rules around digital assets. Representative Maxine Waters also voiced her support for a stablecoin bill that was introduced in 2024. Steil, who chairs the Subcommittee on Digital Assets, Financial Technology, and Artificial Intelligence, indicated that an updated version of the FIT21 bill, a key market structure proposal that was passed in 2024, may be on the horizon. Both Torres and Emmer have been very vocal supporters of the crypto industry. Torres has consistently advocated for balanced regulations that prevent crises like the FTX collapse while also ensuring the US remains a leader in finance and innovation. He previously expressed his support for FIT21 because of its role in consumer protection and industry oversight. Emmer serves as the House Majority Whip and vice chairman of the Digital Assets Subcommittee, and has also been a strong proponent of advancing crypto-friendly policies. He has positioned digital assets as a matter of American leadership, particularly under the current political climate. The emergence of the Congressional Crypto Caucus certainly aligns with the broader pro-crypto shift in Washington. President Donald Trump recently announced that his Working Group on Digital Assets was instructed to include Bitcoin, Ethereum, XRP, Solana, and Cardano in a strategic crypto reserve. Additionally, Trump is set to host the first White House Crypto Summit on March 7. Trump’s Crypto Reserve Idea Gains Traction but Lacks Clarity Donald Trump’s recent announcement of a strategic crypto reserve generated a lot of discussion in the industry, with some experts seeing it as a positive development but also warning that it does not replace the need for clearer regulation. Patrick Young , go-to-market lead at Web3 app Galxe, believes that while the move signals growing government involvement in digital assets, the long-term impact on the market will depend on regulatory clarity rather than state-led accumulation of cryptocurrencies. Trump’s Truth Social post In a March 2 post on Truth Social , Trump revealed that his administration’s digital assets working group was instructed to include XRP, Solana, and Cardano in a US government crypto stockpile. He later stated that Bitcoin and Ethereum will be at the core of this reserve. Trump has been promoting the idea of a US strategic crypto reserve since mid-2024, and his latest statement had an immediate impact on the market. Bitcoin saw a sharp increase, and briefly jumped past $90,000 before stabilizing. Cardano surged by more than 40% in the first 24 hours after the announcement. Despite the market reaction, Young said that the broader industry is more focused on regulatory progress. He pointed out that a friendlier regulatory environment could serve as a more sustainable driver for crypto markets. Trump’s appointments to key regulatory agencies, including the Securities and Exchange Commission (SEC), raised expectations that clearer guidelines will soon be introduced. The SEC already moved forward with applications for US crypto products that previously stalled under the prior administration, which many believe signals a shift in regulatory approach. The commission also stated in February that meme coins are likely not securities, which also clarified a lot of questions that the industry had. Trump’s decision to include altcoins like XRP and Cardano in the reserve raised some concerns about potential conflicts of interest. Some industry figures suggested that the president could be leveraging the move to increase his own crypto wealth, given his connections to entities that hold various digital assets. Others pointed to the centralization risks that are associated with a government-controlled reserve of decentralized assets. Adam O’Brien , CEO of Bitcoin Well, questioned the rationale behind centralizing cryptocurrencies in a government reserve, and argued that if centralized assets were the goal, traditional blue-chip stocks would be a more logical choice. He also warned that such a move could set a precedent that shifts focus away from the fundamental decentralization principles of blockchain technology. While the creation of a strategic crypto reserve has been received as a step toward legitimizing digital assets at the federal level, many in the industry believe that long-term stability will ultimately depend on regulatory frameworks. Coinbase Seeks SEC Spending Details on Crypto Lawsuits Some in the crypto industry are still holding on to the damage that was caused by the previous administration. In fact, Coinbase filed a Freedom of Information Act request looking for details on how much the SEC spent on enforcement actions against crypto firms. Paul Grewal, the exchange’s chief legal officer, announced the move on March 3, and stated that the request covers investigations and enforcement actions from April 17 of 2021, to Jan. 20 of 2025. Coinbase is looking for information on the number of employees that were involved, third-party contractors used, and the overall cost of these regulatory efforts. Grewal criticized the SEC’s previous regulation-by-enforcement approach, and argued that it costs the US innovation, leadership, and jobs. He also questioned the budget and operational costs of the SEC’s now-defunct Crypto Assets and Cyber Unit, which was replaced by the Cyber and Emerging Technologies Unit on Feb. 20 this year. Former SEC Chair Gary Gensler, who is very well known for his strict stance on crypto, resigned on Jan. 20 , 2025, the same day Donald Trump began his second presidential term. Under Gensler’s leadership since 2021, the SEC pursued more than 100 enforcement actions against crypto firms. After his departure, the agency completely reversed course by dropping multiple lawsuits, including cases against Kraken , Gemini , and Yuga Labs. Coinbase itself was sued in June of 2023 over alleged failure to register as a broker, exchange, or clearing agency, but the case was permanently dismissed on Feb. 27. The SEC also ended its investigations into Uniswap Labs and Robinhood Crypto .
