BlockBeats News, May 20 — Last week, the highly anticipated "CLARITY Act" was officially approved by the U.S. Senate Banking Committee, taking a solid step toward becoming law. Earlier this week, Trump’s digital asset advisor Patrick Witt revealed that "the U.S. Bitcoin strategic reserve announcement is expected to be released in the coming weeks." Additionally, the U.S. SEC may introduce a tokenized stock "innovative exemption" policy, and today Trump signed a crypto-friendly executive order. The Trump administration has recently been rolling out favorable crypto policies.

BlockBeats believes that Trump’s main motivation may stem from midterm election pressures. Historically, the president’s party often loses in midterm elections. Current predictions show that the Democrats may regain the House, while Republicans only hold onto the Senate. Therefore, Trump urgently needs to attract young, tech-savvy, and libertarian voters through a series of favorable policies, tying them to the narrative of "American innovation leadership."

Meanwhile, crypto lobbying organizations (such as Fairshake) have become major financial backers behind Trump. Trump also needs to fulfill his pre-inauguration promises of being crypto-friendly to garner more donations. $BTC $ETH