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

Circle CEO Jeremy Allaire said in an interview at the annual meeting of the World Economic Forum in Davos, Switzerland, that US President Trump may soon sign an executive order to make it easier for banks to own digital assets. He expects Trump's order supporting cryptocurrencies will be issued soon, but did not specify a specific time.

Allaire paid special attention to the Staff Accounting Bulletin (SAB 121) of the U.S. SEC, which is a controversial framework that prevents financial institutions from holding cryptocurrencies on their balance sheets. Although Congress voted to overturn SAB121, this resolution was later vetoed by Biden. Biden stated at the time, "My administration will not support measures that jeopardize consumer and investor welfare."

Allaire and other cryptocurrency executives believe that SAB121 is not intended to protect investors but hinders the adoption of new technology. SAB 121 "actually imposes punitive measures on banks, financial institutions and companies and even prohibits them from holding crypto assets on their balance sheets," Allaire said adding: "I think this point needs close attention with regard to (the executive order)."