US Crypto Policy: 3 Laws That Could Reshape Your Portfolio

The future of the regulatory landscape for cryptocurrencies in the United States is uncertain and moving rapidly. Indeed, 2025 already appears on track to be a watershed year for these regulations. With a new administration installed and major appointments to regulatory and oversight bodies in place, the time seems ripe for change. Bright new policy breakthroughs lie ahead! As a journalist covering this fast moving industry, I do my best to provide the most understandable and briefest possible breakdown of the three most important crypto policy issues currently being considered. I’ll dive into their possible effects on cryptocurrency investments and give you applicable insights to start making you more prepared for these shifts.

DeliciousNFT.com is your digital sous chef, ready to whisk you away far past the frozen food aisle, dishing out the real flavor from the decentralized frontier. Now, let’s dive into the policies that can start to drastically change the shape of your portfolio. We’ll go beyond the hype and get to what really matters.

Key Policy Areas to Watch

The US crypto policy feels like a massive Rubik’s cube. All of these pieces together affect how people decide to invest in and use crypto. In 2025, three key areas stand out: the change in how crypto assets are accounted for, the push for clearer rules on digital assets, and new laws about stablecoins. If passed, these amendments would dramatically reshape the state of the crypto market. They will change how businesses should handle digital assets and shape the security and acceptability of stablecoins.

Familiarity with these policies is essential for anyone working in or engaging with the crypto space, from the most experienced investor to the newly curious. Let's take a closer look at each area to see what's changing and what it means for you.

Staff Accounting Bulletin No. 122 (SAB 122)

The SEC’s enforcement actions against crypto assets based on accounting standards have served as the most prominent issue at stake. Initially, Staff Accounting Bulletin No. 121 (SAB 121), issued in March 2022, required cryptocurrency custodians to record digital assets held for customers as liabilities on their balance sheets. As a result, this caused alarm within the industry. These capital requirements would be prohibitive and effectively discourage these institutions from holding any crypto assets.

In a departure from its past, the SEC replaced SAB 121 with SEC Guidance. They subsequently released Staff Accounting Bulletin No. 122 (SAB 122) to replace it. SAB 122 is still being reviewed. This change reflects a big step toward where the SEC appears to be heading with plans to regulate digital asset custodians. The biggest effect here lies in how corporations protect these digital assets. SAB 122 can help reduce the accounting burden for institutions. This relief would promote more participation in the crypto ecosystem, resulting in increased investment and adoption.

For investors, this means paying attention to how companies that hold crypto assets are adapting to SAB 122. In times of uncertainty, a more favorable accounting treatment can help instill some confidence in these companies. Consequently, the wider crypto market will likely see a boost in confidence too.

Legislative Developments in Cryptocurrency for 2025

For all their perils, recent developments in US crypto policy are promising a shift towards clearer guidance and support for the digital asset industry. Making Forward Progress On January 23, 2025, President Trump signed Executive Order 14178. This federal order is known as “Strengthening American Leadership in Digital Financial Technology” and is illustrative of the broader shift that’s taken place. This order asserts that the digital asset industry plays a "crucial role in innovation and economic development in the United States" and commits the Trump Administration to supporting the responsible growth and use of cryptocurrencies, blockchain technology, and related innovation across all economy sectors.

To advance this particular goal, the executive order established a new “Presidential Working Group on Digital Asset Markets.” This new group will take stock of existing and proposed regulations on crypto assets and provide guidance for developing clearer regulations. This working group is tasked with developing a comprehensive framework that fosters innovation while protecting consumers and ensuring financial stability. The executive order bans federal agencies from developing or promoting CBDCs. This is plainly intended to support innovation within the digital asset ecosystem by the private sector.

All of these advancements point to the US government adopting a more favorable position to the crypto industry. The focus on regulatory clarity, the support for innovation, and the rejection of CBDCs could create a more favorable environment for crypto businesses and investors.

Repeal of IRS DeFi Broker Reporting Regulations

Well, something big is coming around the corner. Specifically, the IRS is on the verge of repealing the regulations that require DeFi brokers to report transactions to the IRS. The crypto community was fiercely mobilized against these proposed regulations. Their main contention was that the rules were overly broad and unenforceable in the highly decentralized world of finance.

The argument against these regulations is based on the difficulty of identifying and regulating DeFi brokers, many of whom operate in a decentralized and often anonymous manner. Gathering and publishing data on users would be a significant burden. This would severely curtail innovation and drive DeFi activities overseas. Should these regulations be tossed out, it would be a monumental win for the DeFi ecosystem. This amendment would provide much-needed regulatory relief and help the industry continue to grow and innovate here in the US.

For investors, this means that DeFi platforms may become more accessible and attractive, potentially leading to increased investment in DeFi projects. Understand that the regulatory environment is in constant flux. Cryptopedia does not guarantee the accuracy, validity, timeliness, or completeness of any information on this site. Always do your own research and understand the risks before investing in any crypto asset.

New Stablecoin Legislation

Stablecoins are a central piece of the crypto ecosystem. These cryptocurrencies are stablecoins, purpose-built to minimize fluctuations in their value, typically pegged to fiat currencies or other reference assets. Their absence from the regulatory limbo they’ve long caused has been rightly worrisome for regulators and policymakers. President Trump has signaled support for the "safe and responsible expansion of stable coins," aiming for regulatory clarity to make them safer and more widely used. That means we should expect new stablecoin legislation soon.

This legislation would provide a bright-line regulatory framework governing stablecoins. In doing so, it will help build public trust and public confidence in these assets. This trend will likely increase the utility of stablecoins for payments or other use cases. Second, stablecoins will be more consistently entrenched in the mainstream financial system. That would make stablecoins a relatively more attractive investment for investors. They offer a safer and regulated alternative to dip one’s toes into the world of crypto.

Reserve requirements: Ensuring that stablecoin issuers hold sufficient reserves to back their coins.
Auditing and transparency: Requiring regular audits of stablecoin reserves and transparent reporting of their composition.
Regulatory oversight: Designating a regulatory body to oversee stablecoin issuers and ensure compliance with regulations.

As we’ve outlined here, the US crypto policy landscape is set for dramatic changes in 2025. The SEC's actions regarding SAB 122, President Trump's executive order on digital financial technology, the potential repeal of IRS DeFi broker reporting regulations, and the anticipated stablecoin legislation all point to a more supportive and clearer regulatory environment for the crypto industry.

Summary and Final Thoughts

Stay alert and innovative as things continue to evolve. In doing so, you’ll be better positioned to capitalize on the emerging opportunities in the crypto space.

To stay up-to-date on the latest developments in US crypto policy, I recommend the following resources:

Stay informed about regulatory developments and their potential impact on your investments.
Monitor how companies holding crypto assets are responding to SAB 122.
Consider the potential benefits of increased regulatory clarity for stablecoins.
Be aware of the risks involved in investing in DeFi projects, even with potential regulatory relief.

By utilizing these resources and staying informed, you can navigate the evolving crypto landscape with confidence and make informed investment decisions.

Additional Resources and Information

This article provides a high-level digest of the most important crypto policy areas currently on the table in the U.S. Just keep in mind, it’s not financial or legal advice! Investors should not construe any such information or other material as legal, tax, investment, financial, or other advice.

The Securities and Exchange Commission (SEC) website: For official announcements and guidance on crypto regulations.
The Commodity Futures Trading Commission (CFTC) website: For information on the regulation of crypto derivatives.
Industry news publications: Such as CoinDesk, Coin Telegraph, and, of course, DeliciousNFT.com, for in-depth analysis and reporting on crypto policy.
Legal and regulatory experts: Consult with attorneys and consultants specializing in crypto law for personalized advice.