Solana (SOL -0.89%) is seeing strong gains in Friday’s trading. The cryptocurrency’s token price was up 2.9% over the last 24 hours of trading as of 4 p.m. ET. Meanwhile, Bitcoin was up 1.5% and Ethereum was up 2.6%.
The crypto market is gaining today following an executive order on cryptocurrencies issued by President Donald Trump yesterday, and Solana is taking part in the bullish momentum. In addition to forming a commission to explore regulations in the crypto space and outlining new protections for cryptocurrency miners, developers, and asset holders, the executive order establishes an exploratory stage for the creation of a U.S. digital asset reserve.
Solana surges on Trump’s pro-crypto executive order
Trump’s new crypto order has formed a new advisory group to analyze regulations that currently affect the digital asset space and offer policy suggestions. The group has also been ordered to submit a report about the potential creation of a U.S. digital asset reserve with 180 days.
In addition to creating the new crypto group, the order lays out specific protections to protect lawful crypto miners, developers, and individual owners holding their digital assets in personal storage wallets rather than centralized third-party platforms. Trump’s executive order is being viewed as a broadly bullish development for the crypto space, and it could wind creating particularly pronounced catalysts for Solana.
What’s next for Solana?
Reports published last week suggested that Trump was in favor of starting that U.S. cryptocurrency reserve that also included tokens other than Bitcoin — with preference being given to cryptos that originated domestically. Solana and XRP were specifically named as tokens that were being considered as part of the U.S. crypto reserve project.
Solana has been gaining some ground against Ethereum in the blockchain development space, and its token has been outperforming that of its rival lately. While Solana is up roughly 33% year to date as of this writing, Ethereum is down 1% across the stretch. If Solana were to be favored for inclusion in a U.S. crypto reserve project, it could continue to climb higher and make valuation gains against its larger competitor.
Keith Noonan has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bitcoin, Ethereum, Solana, and XRP. The Motley Fool has a disclosure policy.
