- Trump’s crypto policies repeal restrictive rules, fostering innovation and market growth.
- Tyler Winklevoss boycotts MIT over Gensler’s return, citing past anti-crypto actions.
- Gensler’s SEC tenure drew criticism for lawsuits against major crypto firms like Binance.
President Donald Trump has taken swift action to reshape the regulatory landscape for cryptocurrency since assuming office. In his first weeks, he signed multiple executive orders aimed at fostering innovation in the sector. His administration established a Presidential Working Group focused on digital assets and removed restrictive policies implemented by the previous administration.
One of the most significant changes came with the repeal of the SEC’s Staff Accounting Bulletin (SAB) 121, which discouraged banks from offering crypto custody services. Trump’s decision to eliminate this rule was widely celebrated by industry leaders, who viewed it as a major step toward institutional adoption. Additionally, the administration announced plans to build a “digital asset stockpile,” which could involve the government holding cryptocurrencies like Bitcoin in reserve.
Trump has also shown his backing for Bitcoin mining operations within the United States, recognizing its potential contribution to economic advancement and energy innovation. His administration plans to provide tax relief benefits to Bitcoin mining operators as part of its strategy to advance American dominance in the international crypto market. The pro-crypto position taken by Trump creates a substantial difference against former policies that critics argued restricted industry expansion.
Related: Trump Fulfills His Promise To The Crypto Community by Putting An End to CBDC
Gensler-Tyler Rift Deepens Over MIT Controversy
Amid these policy shifts, former SEC Chair Gary Gensler’s return to MIT has reignited tensions within the crypto industry. Gensler, who led the SEC’s aggressive enforcement actions against major crypto firms, is now a professor at MIT Sloan School of Management. His role includes teaching AI in finance and co-directing the FinTechAI@CSAIL initiative.
Gemini co-founder Tyler Winklevoss strongly opposed Gensler’s new position. He announced that Gemini would not hire any MIT graduates as long as the institution remains associated with Gensler. Winklevoss has long been vocal about his discontent with Gensler’s leadership at the SEC.
In an earlier tweet, Winklevoss called Gensler “evil” and stated that he should never hold another position of influence. He accused him of intentionally sabotaging the crypto industry for personal and political gain. Winklevoss urged the crypto community to boycott any organization that works with Gensler, stating that his actions had caused significant damage to jobs, investments, and livelihoods.
While serving at the SEC, Gensler filed case complaints on Binance, Coinbase, and Ripple, arguing that most digital assets are unregistered securities. His approach faced quite a backlash because it fostered regulatory uncertainty. Lawmakers on Capitol Hill frequently questioned him and sought answers to major concerns like the classification of Ethereum.
With Trump’s administration adopting a pro-crypto stance, Gensler’s return to academia has been met with skepticism. Some in the industry question whether he will continue his anti-crypto views or shift his perspective now that the regulatory landscape is changing. The ongoing friction between Gensler and crypto leaders highlights the deep divide between past and present approaches to regulation.
