The United States’ decision to establish a strategic cryptocurrency reserve is expected to drive global adoption and influence regulatory policies worldwide, Binance CEO Richard Teng said Thursday at the CONVERGE LIVE conference in Singapore.
The initiative, backed by U.S. President Donald Trump, represents a shift in Washington’s approach to digital assets and is seen as a landmark moment for the industry.
Speaking at the event, Teng said the US Government’s decision to allocate seized digital assets—Bitcoin, Ethereum, XRP, Solana’s SOL, and Cardano’s ADA—to a national crypto reserve will push other governments to do the same.
He said cryptocurrencies are no longer on the fringes of financial markets but are now being embraced at the highest levels of economic policy.
Global Impact on Regulation and Institutional Adoption
“We have moved from a period where there was regulatory uncertainty and hostility toward crypto to one where the largest economy in the world is saying, ‘we want to embrace this,’” Teng stated.
He added that the establishment of a national reserve could encourage other governments to consider similar strategies, potentially leading to a wave of institutional adoption across global markets.
Chao Deng, CEO of Hashkey Capital, echoed Teng’s view, noting that the momentum behind crypto adoption has accelerated under Trump’s administration.
“Institutional and retail adoption of crypto assets is immense, and the strategic reserve will only reinforce that trend,” Deng said.
The shift in U.S. policy comes after years of regulatory crackdowns under former President Joe Biden, whose administration imposed strict enforcement measures on crypto firms, citing concerns over fraud and money laundering.
Industry leaders have long criticized those policies, arguing that they stifled innovation and forced companies to seek friendlier jurisdictions.
End of ‘Operation Choke Point 2.0’ and Banking Reforms
A key factor in the new regulatory landscape is the dismantling of “Operation Choke Point 2.0”, an alleged effort under the Biden administration to pressure banks into cutting off services to crypto companies.
Teng described the previous regulatory environment as one of “regulation via enforcement,” making it difficult for the industry to grow.
Under Trump’s leadership, the reopening of banking access for crypto firms is seen as a major breakthrough.
“They encourage and allow banks to be involved with crypto. This is a huge step for the crypto and Web3 industry,” Deng explained.
Market Reaction and Future Outlook
Despite the bullish sentiment from industry leaders, Bitcoin prices fell following Trump’s announcement as details of the strategic reserve plan fell short of investor expectations. Market analysts noted that broader economic concerns, including Trump’s tariff policies, also contributed to a cooling of risk appetite.
Teng, however, dismissed the pullback as a “tactical retreat”, stating that crypto markets remain strong and are not immune to macroeconomic fluctuations.
He reaffirmed that Washington’s pro-crypto stance and the appointment of industry-friendly regulators would provide long-term stability and growth drivers for digital assets.
With the U.S. now actively integrating crypto into its financial ecosystem, industry stakeholders expect regulatory clarity to improve and institutional adoption to rise.
The question now is whether other governments will follow the U.S. lead, setting the stage for a new era of global digital asset integration.
