Venture capital firm Andreessen Horowitz (a16z) crypto’s Policy and Regulation team is “very optimistic” that the future of crypto in the U.S. is bright. The new Trump administration will “foster innovation, accelerate progress, and enable the crypto ecosystem to thrive in the U.S.”
In a note to crypto founders, the VC discussed the ramifications of Trump’s re-election, emphasising crypto regulatory clarity.
Dubbed ‘A Positive Path Forward,’ the team said that it is too early to predict specific regulations. However, crypto founders can expect the election outcomes to be “significant for the industry.”
“The good news is that there is now a pathway for constructive engagement with regulatory agencies and legislation that can bring regulatory clarity.”
A16z sees a laxer regulation and governance of the crypto sector under the new government. It highlighted consumer benefits such as ownership of digital identities, relaxed fees for cross-border stablecoin transactions and new business models.
The VC also noted that crypto founders should “feel empowered” to explore new blockchain projects. Additionally, they should demonstrate how decentralised protocols could justify new regulatory approaches.
A16z Advocates for Clear Crypto Regulatory Framework
Further, the VC noted that in 2025, it will advocate for clear regulatory frameworks that foster innovation and decentralisation.
“This is both an opportunity and a responsibility for builders,” the team wrote. The call for developing decentralised projects would protect consumers from scams and frauds, they added.
However, a16z noted that regulators and policymakers will continue to scrutinize certain aspects of the industry. This is particularly true for token issuances, where their “Token Issuance Guidelines” based on principles continue to apply.
“We should expect a future where these clear rules will make it easier to identify and shut down bad actors, similar to FTX, while allowing well-meaning projects to take off.”
The team criticised the previous regulatory approach, adding that it was by enforcement, with no regulatory clarity. That type of regulation both blocked good actors from entering and allowed bad actors, it added.
“[It] actively harmed consumers and unfairly eroded trust in the space,” the note read.
Last week, a16z donated another $23 million to pro-crypto super political action committee (PAC) Fairshake for the 2026 midterm election cycle.
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