The US plans to ditch legacy systems by pushing dollar-backed stablecoins.
The White House has unveiled a comprehensive strategy to position the US as the global leader when it comes to digital assets.
Titled ‘Strengthening American Leadership in Digital Financial Technology’, the 161-page report lays out the Trump administration’s case for a “Golden Age of Crypto”.
“When President Trump took office in January, he promised to make America the “crypto capital of the world.” Today, the President’s Working Group on Digital Asset Markets is releasing a report that provides a roadmap to make that promise a reality,” the administration said in a release accompanying the report.
The working group behind the report, established under Executive Order 14178, recommends a range of legislative and regulatory actions aimed at boosting US competitiveness in blockchain and digital payments.
Central to this effort is the GENIUS Act, signed into law on July 18, which establishes the country’s first federal framework for stablecoins.
The report states that by enabling banks, non-bank entities and qualified state issuers to offer fully reserved, transparent and auditable stablecoins, the GENIUS Act aims to unlock faster cross-border payments, enhanced interoperability between digital and fiat currencies and greater flexibility for consumers and institutions.
In comments included in the report, the working group argues “widespread adoption of dollar-backed stablecoins will modernise payments infrastructure and allow the United States to move away from costly and outdated legacy systems.”
The private sector is already responding. On a July earnings call, Citi CEO Jane Fraser confirmed the bank is actively exploring a native stablecoin offering, citing the GENIUS Act as a pivotal enabler of this exploration.
The new law mandates 1:1 reserves for all stablecoins, backed by high-quality liquid assets such as short-term Treasuries and insured deposits. It also imposes transparency requirements, including monthly reserve disclosures, independent audits and executive-level certification of financial reports.
In addition to stablecoins, the report calls for modernising banking regulation to accommodate digital asset services like tokenisation and custody. It also calls for ending past policies that made it harder for banks to work with crypto companies, which the administration refers to as “Operation Choke Point 2.0.”
“A sound and predictable banking regulatory framework that embraces the promise of blockchain technology will allow depository institutions to meet customer demand for core banking services for digital assets, and make it easier for those customers to access digital asset markets,” the administration said.
The goal, according to the report, is to create a “sound and predictable” banking framework that embraces blockchain’s promise while safeguarding financial stability.
No to a digital dollar, yes to private innovation
While much of the report focuses on enabling innovation, it also doubles down on the administration’s rejection of central bank digital currencies (CBDCs).
It urges Congress to ban any future US CBDC outright and instructs agencies like the Federal Reserve and Treasury to halt all related research or pilot programmes.
This position mirrors recent legislative developments, including the inclusion of the Anti-CBDC Surveillance State Act in the National Defence Authorisation Act. The measure passed the House with near-unanimous Republican support following private meetings between GOP leaders and Trump.
However, the report makes clear the US does not intend to retreat from digital currency leadership. It sees private-sector stablecoins as the preferred model for preserving US dollar dominance, especially in cross-border and programmable payments.
The report asks American leadership to shape international standards for digital asset regulation and financial market infrastructure. It also urges the Treasury and Federal Reserve to coordinate with allies to promote privacy-preserving, US-aligned payments systems that integrate seamlessly with the global economy.
