Brief argument: The U.S. does not “legalize Bitcoin” with a single nod. Instead, they gradually build a framework: defining the legal identity of crypto, allowing major financial products, opening up banking infrastructure – while tightening money laundering/terrorism controls. This mindset of “open – but with discipline” connects global crypto.
1) Starting milestone: “When will the U.S. allow cryptocurrency trading?”
There is no single day of legalization; the process consists of foundational milestones:
03/18/2013 – FinCEN guidance: crypto exchanges/units are MSBs (money service businesses) required to comply with AML/KYC under the Bank Secrecy Act. This is the “legal birth certificate” for crypto transactions in the U.S.
03/2014 – IRS classifies crypto as property for tax purposes (capital gains).
09/2015 – CFTC affirms Bitcoin as a commodity.
12/2017 – CME lists Bitcoin futures contracts, bringing Bitcoin into the traditional financial system.
=> Since 2013, the U.S. has not prohibited but set conditions for the legal existence of trading within the financial framework.
2 🇺🇸 policies 🇺🇸
Banks touching crypto: OCC allowed banks to custody crypto (7/2020, IL 1170) and use stablecoins/INVN for payments (1/2021, IL 1174). In 2025, OCC/FDIC further clarified: banks can provide custody and enforcement for crypto assets under supervision, removing the old “prior approval” requirement – paving the way for deep integration with the banking system.
Spot ETF product: 01/10/2024, SEC approved spot Bitcoin ETP/ETF – a turning point that allows institutional capital to flow in legally and transparently. Next is ETH spot (05/2024).
Digital market law framework: The House passed FIT21 (05/2024) – an effort to establish SEC/CFTC jurisdiction boundaries and rules for digital assets (though still awaiting optimization).
3) “Open with Discipline”: measures to prevent abuse, terrorist financing
Anti-money laundering/terrorism: since 2013, FinCEN has applied AML/KYC for crypto exchanges/units; in 2019 reaffirmed and expanded applicability to many CVC models.
Sanctioning tools to conceal cash flow: OFAC sanctioned Tornado Cash (08/2022) for supporting large-scale money laundering for sanctioned groups.
Enforcement task force: DOJ established the National Cryptocurrency Enforcement Team (2021) and implemented anti-money laundering/sanctions violation cases; for example, Binance pleaded guilty & paid a fine of $4.3 billion (11/2023).
Regulation on “mixers”: FinCEN proposed to define mixing/anonymizing CVC activities as a critical concern under Section 311, increasing the authority to mitigate terrorist financing risks.
4 👨⚖️👩⚖️Key figures in U.S. politics have “brought crypto to the world👨⚖️👩⚖️
Regulators – The Track Layers:
Gary Gensler (SEC) – under his leadership, spot Bitcoin ETFs were approved (2024), bringing BTC into the public investment portfolio.
Rostin Behnam (CFTC) – consistently views BTC as a commodity, promoting oversight of derivatives. (CFTC laid the foundation from 2015).
Michael Hsu/OCC – maintaining and clarifying the custody/enforcement/stablecoin rights for banks, connecting crypto with core banking (2021–2025).
Hester Peirce (SEC) – “crypto mom”, continuously advocating for a testing framework/friendly innovative approach; supporting the decision on spot ETFs.
Congress 👨🎓👩🎓 Lawmakers: 👨🎓👩🎓
Patrick McHenry (Chairman of the House Financial Services Committee) – co-leading FIT21 through the House (05/2024).
Cynthia Lummis & Kirsten Gillibrand – co-authors of the Lummis–Gillibrand framework on digital assets (the foundation for bipartisan thinking – a common reference in current debates).
Tom Emmer, Ritchie Torres, Warren Davidson – prominent group of representatives supporting innovation; creating political pressure for a clear legal framework.
The U.S. succeeded due to identification – integration – discipline: legal identification (2013–2015), financial integration (CME 2017, ETF 2024, banking 2020–2025), and enforcement discipline (FinCEN/OFAC/DOJ). This transformed Bitcoin from a “network experiment” into a global infrastructure asset. Anyone who understands U.S. rules will understand global capital flow. 🌍🇺🇸🌍🇺🇸🌍
