Trump Signs Executive Order: Establishes Presidential Working Group on Digital Assets to Assess National Digital Asset Reserves

On January 24, 2023, President Trump signed an executive order to establish the Presidential Digital Asset Working Group, which is responsible for developing a federal regulatory framework for digital assets, including stablecoins, and assessing the feasibility of creating a national digital asset reserve. The working group is chaired by David Sachs, the White House's "Director of Artificial Intelligence and Cryptocurrency," and includes members such as the Secretary of the Treasury, the Chair of the Securities and Exchange Commission, and heads of other relevant departments and agencies. The executive order requires departments to provide recommendations to the working group on regulations and other agency actions affecting the digital asset space, with the aim of repealing or amending them. Additionally, the executive order prohibits agencies from taking any actions to establish, issue, or promote Central Bank Digital Currencies (CBDCs). The order also rescinds the previous administration's "Digital Asset Executive Order" and the Treasury Department's "Framework for International Engagement on Digital Assets," citing that these two orders hindered innovation and undermined the economic freedom of the United States and its global leadership in the digital finance space.