Biggest Crypto News of January 2025 – Huge Regulatory Changes Incoming?
Bitcoin started 2025 at over $93,000 and ended January above $101,000, keeping the bull run alive. But what’s driving this momentum? The first month of the year brought major shifts in the crypto world, especially in regulations.
From Trump launching his own meme coin and signing a pro-crypto executive order to Europe tightening rules with MiCA and Binance facing new legal trouble in France, January was packed with big headlines.
Let’s dive into the biggest crypto news of the month and what it means for the future of the industry.
Trump’s $TRUMP Meme Coin: Hype, Billions, and Big Questions
Just days before his inauguration, Donald Trump shook up the crypto world by launching his own meme coin, $TRUMP. At first, many thought it was just another gimmick, but Trump’s official social media confirmed it was real. Within two days, $TRUMP’s market cap soared to $27 billion, briefly making it the 19th biggest cryptocurrency.
The coin’s surge was driven by Trump supporters, meme traders, and speculators looking for quick profits. But the hype didn’t last. By January 21, $TRUMP had lost half its value. Adding to the chaos, Melania Trump launched her own meme coin, $MELANIA, on January 19, which also spiked and crashed within days.
Many in the crypto space aren’t thrilled. Critics say $TRUMP is just another speculative asset with no real use, feeding the idea that crypto is all about hype and quick cash grabs.
Then there’s the ethics issue. As President, Trump stands to profit from the coin while also having the power to shape crypto regulations. That’s a huge conflict of interest. Ethereum co-founder Vitalik Buterin called $TRUMP a “distraction from real innovation” and also a “perfect bribery vehicle.”
The risk of politician coins comes from the fact that they are such a perfect bribery vehicle. If a politician issues a coin, you do not even need to send *them* any coins to give them money. Instead, you just buy and hold the coin, and this increases the value of their holdings… https://t.co/8Zkd7KcpuA
— vitalik.eth (@VitalikButerin) January 23, 2025
Lawmakers, including Senator Elizabeth Warren, are also raising concerns about foreign governments buying $TRUMP to gain influence—potentially violating the Emoluments Clause.
Despite the backlash, Trump is going all-in on crypto. He signed an executive order declaring the U.S. the “crypto capital of the planet” and pushing for new regulations (more on this in the next section). Whether this benefits the industry or just his own holdings remains to be seen.
Trump’s Executive Order on U.S. Crypto Policy: New Rules, No CBDC, and a National Crypto Stockpile
On January 23, 2025, President Trump signed an executive order called “Strengthening American Leadership in Digital Financial Technology.” This is a big shift in U.S. crypto policy to bring clearer rules and more innovation.
The order created a working group inside the National Economic Council, led by David Sacks, with officials from the Treasury and Homeland Security.
Their job?
Review existing crypto rules, propose new ones, and explore the idea of a national crypto stockpile.
One of the biggest takeaways is Trump is all in on stablecoins. The order pushes dollar-backed stablecoins as a key financial tool while banning the idea of a U.S. central bank digital currency (CBDC). Trump and many in the crypto world believe a government-controlled CBDC could lead to too much surveillance and control.
At the same time, the SEC got a shake-up. Trump replaced Gary Gensler with Mark T. Uyeda as Acting Chairman. Under Uyeda, the SEC set up a Crypto Task Force, led by Hester Peirce, to focus on clearer and fairer crypto regulations—instead of just going after companies.
Last year, the SEC took a hard stance, suing major exchanges like Coinbase, Binance, and many others, accusing them of breaking U.S. laws.
The industry is mostly excited. Anchorage Digital CEO Nathan McCauley called it a “sea change” for crypto in the U.S. Banks may soon offer crypto custody services without fear of penalties.
But not everyone is on board.
Trump’s own $TRUMP meme coin is raising eyebrows. Some say it’s a conflict of interest, questioning whether his new policies benefit the industry—or just himself. Nonetheless, it’ll be interesting to see how things turn out in the coming years.
Europe’s MiCA Regulations Kick In: Clearer Rules or Stricter Barriers?
While the U.S. is easing crypto rules, Europe is doing the opposite. The Markets in Crypto-Assets (MiCA) regulation fully kicked in on December 30, 2024, bringing big changes for crypto companies operating in the EU.
Under MiCA, crypto businesses need a license to operate across all 27 EU countries.
The goal?
Protect consumers, prevent shady trading, and bring clear rules to the industry. Companies must also be upfront about risks and follow stricter rules against insider trading and market manipulation.
January 2025 saw the first real effects. Bitpanda became one of the first platforms to get a MiCA license, allowing it to operate across Europe. Meanwhile, Kraken and Crypto.com announced the delisting of Tether (USDT) and other stablecoins in the EU to comply with MiCA’s tough new rules on stablecoins.
The crypto world is divided. Some say clear regulations will boost trust and attract big investors who were waiting for legal clarity.
Others worry that strict rules and high compliance costs will push companies out of Europe in search of friendlier regulations. One of Tether’s spokesperson expressed their disappointment with “rushed actions” by the parties involved in a statement to Cointelegraph.
The big question is will MiCA set the standard for crypto laws worldwide, or will it make Europe less competitive?
France Cracks Down on Binance: What Exactly Happened?
In January 2025, French authorities launched a major investigation into Binance, accusing the world’s biggest crypto exchange of money laundering, tax fraud, and operating without proper approval.
The probe, led by the Paris Public Prosecutor’s Office (JUNALCO), is digging into Binance’s activities between 2019 and 2024 to see if it helped in money laundering linked to drug trafficking and tax evasion.
This came after users complained about losing money on Binance, claiming the exchange misled them and wasn’t properly licensed in France or the EU. Binance denies the allegations and says it will fight back.
This isn’t Binance’s first legal trouble. In 2023, it paid a massive $4.3 billion fine in the U.S. for failing to stop illegal transactions and violating sanctions laws. That scandal also led to the resignation of CEO Changpeng Zhao, who later pleaded guilty to related charges. Read the full story here.
Despite new leadership and stricter compliance measures, Binance is still under the regulatory spotlight worldwide.
The crypto world is watching closely. If France takes action against Binance, it could lead to tougher regulations on all exchanges in Europe. Some fear this might push businesses out of the region, while others believe stricter oversight is needed to clean up the industry. Either way, Binance’s legal battles are far from over.
Final Thoughts
January 2025 brought major changes to the crypto world. Trump’s $TRUMP coin made waves, while his executive order set the U.S. on a more pro-crypto path. In contrast, Europe tightened its grip with MiCA, pushing exchanges to adjust. Meanwhile, Binance faced fresh legal trouble in France, adding to its global challenges.
The big picture? Regulation is taking center stage. Some governments are loosening rules, others are cracking down, but one thing is clear—crypto’s future will depend on how well it balances innovation with compliance.