With the re-election of Donald Trump, expectations for cryptocurrency regulations and supporting practices have increased. Re-elected President Trump has begun taking steps that have the potential to create a positive environment for crypto investors. In this process, the resignation of SEC Deputy Chairman Gary Gensler is considered an important development for the crypto industry. The demand for the merger of the SEC and CFTC has been revived in the hope of better governing the industry.
SEC and CFTC Merger Talks
Merger talks between the SEC and CFTC have been ongoing for years. Three months ago, US lawmaker John Rose introduced a bill for this merger. Popular crypto spokesman John E. Deaton also supported the same idea, stating that regulations should be free from confusion and interference.
“The merger of the SEC and CFTC could bring clarity and order to the crypto industry.” —John E. Deaton
Support from Industry Leaders
Many industry leaders, such as Elon Musk and Vivek Ramaswamy, support the merger of the SEC and CFTC. Donald Trump plans to leave control of the crypto market to the CFTC. This step could enable the US to have a single financial regulatory agency like many countries.
Effect on XRP and XLM Prices
Gary Gensler and the SEC are thought to be hindering the growth of cryptocurrencies. Ripple $2.5‘s lawsuit with the SEC caused XRP prices to remain unstable for three years. However, recently the XRP price has recovered and reached its highest level in six years. XLM followed a similar trend and reached new highs.
With Donald Trump’s victory, the XRP price rose to $2.43 and its market value reached $138.81 billion. Analysts predict that XRP could reach $15-20 with the resignation of Gary Gensler and the merger of the SEC and CFTC. It is stated that XLM may rise up to $5 by following the price movements of XRP.
Benefits of the Merger of the SEC and CFTC
The merger of the SEC and CFTC could be an important step in crypto regulation. This merger could enable service providers to operate more smoothly and reduce legal challenges. Additionally, the existence of a single regulatory agency could put the United States on par with other countries.
Improving the regulatory environment in crypto markets can create a safer and more predictable environment for investors. The merger of the SEC and CFTC could increase growth potential by reducing uncertainties in the industry. These developments could contribute to wider acceptance of cryptocurrencies and steady growth of markets.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
