White House Releases 168-Page Crypto “Regulatory Bible” to Establish U.S. as Global Digital Asset Leader

The White House has released a 168-page Digital Asset Policy Framework, the most comprehensive U.S. federal guidance on crypto to date, inline with the Trump administration’s pledge to make America the “crypto capital of the world.”

The report calls for immediate regulatory clarity across taxation, banking, DeFi, and stablecoin markets while rejecting Central Bank Digital Currencies (CBDCs). It positions the U.S. to lead in blockchain innovation through defined oversight, banking reforms, and a strategic national crypto reserve.

• Regulatory action: The SEC and CFTC urged to clarify registration, custody, and trading rules to accelerate digital asset market integration.
• Legislative priorities: Congress to empower the CFTC over spot crypto markets and expand safe-harbors for decentralized finance (DeFi) innovators.
• Banking reforms: Framework ends “Operation Choke Point 2.0,” clarifies custody and stablecoin issuance, and promotes fair access to Fed master accounts.
• Strategic crypto reserve: Treasury to manage a U.S. reserve funded by forfeited assets, including BTC, ETH, and select altcoins, for national objectives.
• Stablecoin and tax policy: The GENIUS Act mandates fully backed stablecoins; new IRS guidance proposed for DeFi transactions and de minimis digital receipts (IRS.gov).

Scope note: Framework applies to 2025 U.S. digital asset regulation; pending Congressional updates and Treasury implementation timelines expected late 2025.”

The report from the President’s Working Group on Digital Asset Markets represents the most extensive federal policy document ever released for digital assets. The framework provides regulatory recommendations spanning market structure, banking access, taxation, and the creation of a strategic national cryptocurrency stockpile.

“Revolutionary” Endorsement from Federal Government

“The Working Group, as the author of this report, endorses the notion that digital assets and blockchain technologies can revolutionize not just America’s financial system, but systems of ownership and governance economy-wide.” The document emphasizes that “American entrepreneurs who pioneer new industries using these technologies deserve both clarity on the policies that affect their efforts and praise for the progress they have made”.

Immediate Regulatory Coordination Called For

The working group, led by Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and SEC Chair Paul Atkins, is pushing for immediate federal action to empower and enable digital asset trading. The report recommends that the SEC and CFTC “immediately enable the trading of digital assets at the Federal level by providing clarity to market participants on issues such as registration, custody, trading, and recordkeeping”.

SEC Chairman Paul Atkins has issued a strong endorsement of the framework, stating that “a rational regulatory framework for digital assets is the best way to catalyze American innovation, protect investors from fraud, and keep our capital markets the envy of the world”.

Atkins, who criticized his predecessor’s approach, emphasized that “America must do more than keep pace with the crypto asset revolution—we must lead it”.

Key Legislative Recommendations

The report calls for several immediate Congressional actions:

• Granting the Commodity Futures Trading Commission authority to “regulate spot markets in non-security digital assets”
• Affirming that people can custody their own crypto without a middleman in place
• Building on the bipartisan House vote for the CLARITY Act to eliminate existing gaps in regulatory oversight
• Embracing DeFi technology and recognizing the potential of integrating such technology into mainstream finance

Banking Sector Overhaul

The Trump Administration has “ended Operation Choke Point 2.0 once and for all by working to end regulatory efforts that deny banking services to the digital assets industry”, according to the report.

The framework calls for sweeping banking reforms including clarification of permissible activities for custody, tokenization, stablecoin issuance, and blockchain usage. The working group also recommends promoting transparency in the process for institutions to obtain bank charters or Federal Reserve master accounts.

Strategic Cryptocurrency Reserve Details

The report provides the most detailed framework yet for the administration’s cryptocurrency stockpile plans. Both the reserve and stockpile would be administered by the Treasury Department and “be capitalized by forfeited digital assets”.

Significantly, the Bitcoin in the reserve will, in general, not be sold and “will be maintained as reserve assets of the United States utilized to meet governmental objectives in accordance with applicable law”.

While President Trump announced plans to move forward with a U.S. crypto strategic reserve that included XRP, SOL, and ADA alongside BTC and ETH, the working group noted that Treasury Department work on implementation is already underway with more details expected soon.

Stablecoin Framework Acceleration

Following the recent passage of the GENIUS Act, which “creates the first-ever Federal regulatory framework for stablecoins”, the working group is pushing for rapid implementation. The bill requires stablecoins to be fully backed by U.S. dollars or similarly liquid assets. The framework views dollar-backed stablecoins as essential for modernizing payment infrastructure and strengthening the U.S. dollar’s global position.

Comprehensive Tax Reform Proposals

Addressing a key industry priority, the working group said tax policy on a federal level should “recognize the unique characteristics of digital assets”. Specific recommendations include guidance on “the determination of ‘adjusted financial statement income’ with respect to financial accounting unrealized gains and losses on investment assets other than stock and partnership interests, whether wrapping and unwrapping transactions are taxable transactions, and de minimis receipts of digital assets”.

DeFi Integration and Safe Harbors

The report embraces decentralized finance technology, with the working group pushing policymakers to welcome decentralized finance and consider how software is controlled and whether it can actually comply with current rules.

The working group also said the SEC should consider creating safe-harbors for crypto and establish a “fit-for-purpose exemption from registration” for securities distributions.

Enhanced Agency Collaboration

Chairman Atkins emphasized the importance of coordination, stating “I also appreciate the report’s call for enhanced collaboration between the SEC and the CFTC, as well as with other relevant federal agencies, to ensure that our approach is unified, clear, and consistent”.

Opposition to CBDCs Maintained

Good news too for those concerned about the potential introduction of a US Central Bank Digital Currencies, as the report maintains the administration’s firm stance against CBDCs, recommending that Congress “take additional action to protect privacy and civil liberties by passing the Anti-CBDC Surveillance State Act to codify the provisions of the President’s Executive Order banning Central Bank Digital Currencies in the United States”.