President Donald Trump signed an executive order aimed at preventing banks from discriminating against the cryptocurrency industry and other groups, addressing what his administration described as “debanking” practices.

The order prohibits federal regulators from using “reputational risk” as a justification for influencing banks to deny services to legal businesses, particularly targeting perceived bias against crypto firms and conservative-affiliated clients. It mandates investigations into whether banks have violated laws like the Equal Credit Opportunity Act, antitrust laws, or consumer protection statutes, with potential penalties including fines or consent decrees for violators.

The directive also addresses claims of “Operation Chokepoint 2.0,” an alleged coordinated effort under the Biden administration to pressure banks to sever ties with digital asset firms. This action builds on Trump’s earlier pro-crypto policies, such as a January 2025 executive order promoting digital asset innovation and banning Central Bank Digital Currencies (CBDCs) in the U.S.

Implications for Blockchain Technology

The August 7 order, combined with the January 23 order, emphasizes regulatory clarity for digital assets and blockchain technology. By establishing a President’s Working Group on Digital Asset Markets to propose a federal regulatory framework within 180 days, the administration aims to provide a stable environment for blockchain innovation.

The orders explicitly protect fundamental blockchain activities such as self-custody, mining, and permissionless transactions. This fosters an environment where developers and companies can innovate without fear of regulatory overreach, potentially accelerating advancements in decentralized finance (DeFi), tokenized assets, and Web3 projects.

The policy aims to position the U.S. as a hub for blockchain innovation, countering restrictive regulations in places like China. This could attract global investment and talent to the U.S., enhancing blockchain research and development. The creation of a Strategic Bitcoin Reserve and a U.S. Digital Asset Stockpile, as outlined in a subsequent March 7, 2025, executive order, signals government recognition of cryptocurrencies like Bitcoin as strategic assets.

This move, capitalized with seized cryptocurrencies, could legitimize blockchain-based assets and encourage broader adoption of blockchain technology for secure, decentralized record-keeping. By treating Bitcoin as “digital gold” due to its scarcity and security, the government’s strategy may spur blockchain use in financial systems, reinforcing its role in global transactions.

The prohibition of CBDCs, citing risks to financial stability and individual privacy, prioritizes decentralized blockchain networks over centralized digital currencies. This could drive investment toward permissionless blockchains, as the policy encourages private-sector-led innovation over government-controlled alternatives.

While the orders promote innovation, experts caution that blockchain’s privacy benefits are not absolute, and misuse for illicit activities remains a concern. The administration’s focus on anti-money laundering (AML) measures and blockchain analytics tools may impose compliance requirements that could complicate development for smaller blockchain projects.

How Banks Are Likely to View Cryptocurrencies

Bank of America CEO Brian Moynihan’s statement, “If the rules come in and make it a real thing that you can actually do business with, you’ll find that the banking system will come in hard on the transactional side of it,” suggests banks are ready to engage with crypto as a legitimate payment form if regulatory clarity is provided. This indicates a shift toward viewing cryptocurrencies as viable financial instruments.

The rescission of the SEC’s Staff Accounting Bulletin 121 (SAB 121) on January 23, 2025, removes accounting burdens that deterred banks from offering crypto custody services. Previously, SAB 121 required banks to record customer-held crypto as liabilities, inflating balance sheets and complicating financial reporting. Its withdrawal signals banks can now more easily custody digital assets, potentially leading to broader crypto integration in banking services.

Banks are likely to explore crypto-related services like custody, trading, and payment processing, especially as stablecoin regulations solidify with the GENIUS Act (signed July 18, 2025), which mandates 100% USD or Treasury backing for stablecoins. This could normalize cryptocurrencies in traditional banking operations.

Large banks like JPMorgan Chase and Bank of America, which previously cited AML and financial risk concerns for debanking, may adopt a more open stance but will likely prioritize compliance to avoid penalties. The creation of a national digital asset stockpile and Strategic Bitcoin Reserve lends credibility to cryptocurrencies, potentially attracting institutional investors, including banks.

For banks, the order removes barriers to engaging with crypto, encouraging participation in custody, trading, and payment services, though compliance with AML regulations remains critical. While the policy shift is broadly positive for blockchain and crypto adoption.

Electric vehicle sales in the United States are experiencing a sharp spike as consumers rush to take advantage of tax credits worth up to $7,500 before they expire at the end of September.

The looming deadline, set under legislation backed by Republicans in Congress and signed by President Donald Trump in July, marks a dramatic policy shift that will effectively eliminate federal incentives for new, used, and leased EVs after September 30 — a full seven years earlier than originally planned under the Biden administration’s Inflation Reduction Act.

Under Biden’s plan, the credits would have remained in place until 2032, part of a broader strategy to cut greenhouse gas emissions from the transportation sector, which is the single largest contributor to U.S. emissions. The change now leaves a narrow window for buyers to lock in significant savings, pushing the EV market into a frenzy.

Auto analysts say the surge is unprecedented. Stephanie Valdez Streaty, senior analyst at Cox Automotive, predicts the third quarter could set an all-time record for EV sales.

“People are rushing out to buy because they know the incentives are going away,” she said.

In July alone, Americans purchased nearly 130,100 new EVs — the second-highest monthly sales total on record, just behind December’s 136,000. That’s a 26.4% jump from June and almost 20% higher than a year earlier. EVs made up 9.1% of all passenger vehicle sales for the month, the largest share ever recorded.

Used EVs are also seeing record demand, with nearly 36,700 sold in July, according to Cox data. Certain models have emerged as clear winners, including the Chevy Equinox EV, Honda Prologue, and Hyundai IONIQ 5. The Equinox EV alone sold 8,500 units in July — the highest single-month total for any non-Tesla EV in the U.S. Tesla, still the market leader, has seen its own sales slip for two straight quarters, down 12% year-over-year in Q2 and 9% in Q1.

The appeal of the tax credits is simple economics. A new EV costs an average of $55,689, compared to $48,078 for a new gasoline-powered car. With the federal credit, the price gap all but disappears, bringing an EV’s cost to around $48,189 — near parity with conventional vehicles. Without that subsidy, the affordability advantage vanishes overnight.

Tom Libby, analyst at S&P Global, warns that the end of the credits will “jeopardize” EV price competitiveness, even as state governments and utility companies continue to offer smaller, localized incentives.

Dealers are making the most of the ticking clock. Tesla’s homepage now blares “$7,500 Federal Tax Credit Ending” alongside “Limited Inventory — Take Delivery Now,” urging customers to finalize purchases before the cutoff. To sweeten the deal, automakers are stacking additional discounts on top of the federal credit. In July, new EV buyers received an average of $9,800 in extra incentives from dealers, worth 17.5% of the average transaction price, the highest level since before EVs began to gain mainstream traction in late 2017.

But the rush may be short-lived. Analysts warn of a steep drop in sales once the tax credit disappears.

“EV sales are likely to collapse in the fourth quarter of 2025,” Streaty said, predicting that the market will have to recalibrate to a new financial reality.

One possible bright spot could be the used EV market, which has already been growing without much help from incentives. Only about one-third of used EVs sold qualified for the $4,000 federal credit even before the policy change, suggesting demand won’t crater as dramatically. With more used EVs entering the market and fewer subsidies for new ones, analysts expect pre-owned models to attract more buyers in the months ahead.

However, the looming expiration of federal incentives has created a paradox of an artificial boom in sales today, shadowed by the threat of a sharp contraction tomorrow.