Donald Trump’s administration is likely to provide a more positive environment for cryptocurrencies, and one of the most anticipated developments is the possible adoption of the Bitcoin Act, asset manager CoinShares said in a research blog Wednesday.

“This proposal would establish bitcoin as a strategic reserve asset, with the U.S. government acquiring up to 5% of bitcoin’s total supply,” wrote James Butterfill, head of research at CoinShares.

That would give bitcoin (BTC), the original cryptocurrency, a similar role to gold. With a recognized position within the national reserve, it would also gain greater legitimacy, the report said.

U.S. Sen. Cynthia Lummis (R-Wyo.) introduced legislation earlier this year calling for the establishment of a strategic bitcoin reserve to reduce the country’s national debt by buying 1 million BTC over five years. The bill, entitled Boosting Innovation, Technology and Competitiveness Through Optimized Investment Nationwide (BITCOIN) Act, was introduced to the Senate in July.

President-elect Trump promised to establish a bitcoin reserve in the run-up to the election, and Lummis reiterated the plan on X following his victory.

“If implemented, the Bitcoin Act could drive considerable institutional and governmental interest in bitcoin, potentially accelerating its growth and pushing its value to new heights,” Butterfill wrote.

CoinShares noted that Trump has been a critic of the Securities and Exchange Commission (SEC) and Gary Gensler, its chairman, particularly in regard to the agency’s approach to crypto. His administration is expected to appoint new SEC leaders, which could lead to a period of more crypto-friendly regulation.

Broker Canacccord said that “changes in the SEC posture, along with the passage of a crypto-industry regulatory framework,” could lead to much wider adoption of digital assets by the mainstream financial services industry.

The broker noted that while the president can’t fire an SEC commissioner, a reshuffle is possible, and one more crypto-friendly replacement would be Hester Peirce, it said in a research report on Wednesday.

If these changes were to happen at the SEC, it would benefit the whole industry, and in particular Coinbase (COIN) and Galaxy Digital (GLXY), Canacccord said.