Circle CEO: Strongly supports Trump's repeal of SAB 121, expecting executive order to be issued soon

BlockBeats news, on January 21st, Circle CEO Jeremy Allaire stated in an interview at the World Economic Forum annual meeting in Davos, Switzerland, that US President Trump may soon sign an executive order to make it easier for banks to hold digital assets. He expects that Trump’s order supporting cryptocurrency will be released ‘soon,’ but did not specify a specific time.

Allaire pays particular attention to the US SEC’s Staff Accounting Bulletin 121, a controversial framework that prevents financial institutions from holding cryptocurrency on their balance sheets.

Although Congress voted to overturn SAB 121, the resolution was later vetoed by Biden. Biden said at the time, “My administration will not support measures that jeopardize the well-being of consumers and investors.”

Allaire and other cryptocurrency executives believe that SAB 121 is not intended to protect investors, but to hinder the adoption of new technology. SAB 121 “actually imposes penalties on banks, financial institutions, and companies, even prohibiting them from holding encryption assets on their balance sheets,” Allaire said, adding, “I think this needs close attention in terms of (executive orders).” (Reuters)