The Trump administration has been actively rolling out pro-crypto policies, with the upcoming midterm elections serving as a key driver.

BlockBeats News, May 20. Last week, the much-anticipated CLARITY Act officially passed the U.S. Senate Banking Committee review, marking a solid step towards enactment. Earlier this week, Trump's digital asset advisor Patrick Witt revealed a major news that the "U.S. Bitcoin Strategic Reserve Announcement is expected to be made in the coming weeks." In addition, the SEC may introduce an "Innovation Exemption" policy for tokenized stocks and today's executive order signed by Trump, signaling the Trump administration's ongoing cryptocurrency-friendly policies.

BlockBeats believes that Trump's main motivation may stem from the pressure of the U.S. midterm elections. As historical trends show that the president's party often loses ground in the midterm elections, current forecasts indicate that the Democrats may regain the House of Representatives, with the Republicans barely holding onto the Senate. Therefore, Trump urgently needs to attract young, tech-savvy, and libertarian voters through a series of favorable policies, aligning with the narrative of "U.S. Innovation Leadership."

Meanwhile, cryptocurrency lobbying groups (such as Fairshake) have become major donors behind Trump. Trump also needs to fulfill his pre-election crypto-friendly promises to gain more support.