JPMorgan Claims the Trump Administration Has Initiated a ‘New Era’ for Cryptocurrency in the U.S.

JPMorgan has indicated that the most challenging regulatory conditions for cryptocurrency markets are now behind us, following the election of Donald Trump. In a report released Wednesday, the bank noted that the total cryptocurrency market cap has increased by approximately 65% since Trump’s reelection, marking the start of a new chapter for crypto in the U.S.

The report emphasized that the Trump administration is not only more crypto-friendly but also enthusiastic about promoting the asset class. Analysts led by Kenneth Worthington pointed out that the new administration has shown openness to discussing crypto market regulation and formulating policies that ensure future growth within the U.S. The president-elect has also nominated individuals who will be key in shaping crypto policy and enforcement.

According to JPMorgan, the “worst regulatory environment for crypto” is now behind us, and the industry can expect a “safer, more transparent, and more productive regulatory landscape” moving forward.

However, the bank cautioned that the effects of these changes may take some time to materialize, with policy impacts likely not felt until 9 to 12 months into Trump’s term. A significant piece missing from the administration’s pro-crypto agenda is the nomination for the chair of the Commodity Futures Trading Commission (CFTC), which will be crucial in regulating bitcoin (BTC) and ether (ETH).

With a more supportive regulatory environment, the report noted, exchanges and brokers are likely to list more tokens, and there could be greater innovation in crypto products.