Let the money flow, and watch a bull run begin.
The U.S. government is reportedly preparing to relax key banking regulations in a move towards banking deregulation, loosening restrictions put in place after the financial crisis of 2008.
The moves could ignite a crypto bull run, setting up conditions ripe for the next crypto to explode.
Here’s what it all means.
US to Adjust Supplementary Leverage Ratio (SLR)
The reported move focuses on adjustments to the Supplementary Leverage Ratio (SLR). This could unlock significant capital for major banks, and news of the change has roused the crypto market.
Expectations are that increased liquidity from an adjusted SLR could flow into digital assets, particularly Bitcoin.
Implemented post-2008 financial crisis, the SLR requires large banks to maintain a certain level of high-quality capital against their total assets.
That includes even low-risk holdings like US Treasuries. Critics argue that this rule unnecessarily restricts banks’ ability to lend and invest, especially in low-risk assets.
The proposed changes aim to exempt such assets from the SLR calculation, potentially freeing up to $2T in bank balance sheets.
It’s a move that banks have long advocated for has long been advocated for by the banks themselves, as the Bank Policy Institute indicated in a recent address to the US government:
‘Treasury securities have grown while banks’ balance sheet capacity remains limited. The confluence of capital and liquidity regulations has had a contradictory impact on banks’ balance sheets, with banks holding lots of Treasuries to meet liquidity requirements but being constrained by capital requirements from actively intermediating…Reforming leverage capital requirements, including the SLR – a long-overdue change – would unlock capacity… and bolster the resilience of this critical market.’
Essentially, that single move would create an influx of cash for the markets. The only real question would be where it would all go. Crypto, according to JP Morgan.
Bitcoin, often viewed as a hedge against traditional financial systems, stands to benefit directly. And a surge in Bitcoin’s value would lift the entire crypto market.
Is Trump Revising the SLR to Keep Banks Happy?
The general attitude of American finance toward President Trump has been markedly cooler recently.
Introducing widespread turmoil through high tariffs – and the constant ‘will-he-won’t-he’ impact of starting and stopping them – has damaged American business interests.
Could the revised SLR be one way Trump aims to keep banks on his side?
It’s certainly possible; there have been rumblings recently that investments are showing signs of shifting overseas – something American finance is keen to avoid.
If the move materializes, it could trigger an epic bull run, with trillions of dollars just itching to be spent. Banks are no strangers to research – they’ll be certain to pick the best crypto to explode just as the markets heat up.
The impacts of the move would be felt beyond the US, and even beyond crypto. Potential effects include:
- Greater liquidity, as banks allocate more funds away from holding assets in order to comply with the current rules.
- Backlash; while financial sector leaders and policymakers support the move, critics warn that reducing capital requirements amid market volatility could increase financial system vulnerabilities.
- International fallout, as aligning U.S. standards with lower international ratios could prompt similar demands abroad.
It’s worth noting that most major U.S. banks are more constrained by stress tests and risk-based requirements than the SLR, which may limit the overall impact of the reform.
Still, the potential rollback of the SLR is significant, as it reflects the ongoing shift in regulatory philosophy and indicates how Trump is possibly reacting to the markets.
To keep on top of your own market responses, keep an eye on these projects – three of the best cryptos set to potentially explode in a new, equity-fueled bull run.
1. MIND of Pepe ($MIND) – Trailblazing AI Agent Meme Coin with 244% Staking APY
Part AI agent, part meme coin, MIND of Pepe ($MIND) captures the best of both worlds. The memecoin heritage is plain – this is a token that follows in Pepe’s footsteps.
But the techmap is impressive and aggressive, launching a fully autonomous AI agent on X and then using that to build out a token + agent that delivers value in spades for $MIND token holders.
To date, the AI agent market sector has amassed a $6B market cap, but it lacks a singular, breakthrough project.
$MIND could be positioned to be that project.
Once launched, MIND will learn from market movements and deliver exclusive alpha to token holders. Over time, it will even launch exclusive tokens on X and manage its own allocation of $MIND tokens – a full 25% of the total.
How big could $MIND be? Tokens currently cost $0.0037515, but our $MIND price prediction shows the token could reach $0.0065 by the end of 2026. That’s a 75% increase for token holders who buy in now.
Add the potential increase to the 244% presale staking rewards, and MIND of Pepe looks set to reward investors big-time.
Learn how to buy MIND of Pepe, and visit the presale page to learn more.
2. Solaxy ($SOLX) – Solana’s Pioneering Layer-2 Solution
Solaxy ($SOLX), the first-ever Solana Layer-2, adds Ethereum’s scalability to Solana’s speed and low fees. Along the way, it solves the pesky Solana problems of failed transactions and added congestion.
Solaxy brings memecoin vibes, but delivers serious technical chops. The Solaxy Testnet Bridge just launched, even while the presale has raised $36.5M so far.
Next up? The token launch, followed by the full Layer-2 development.
As a multichain token, $SOLX will be launched on Ethereum and bridged to Solana, then to the Solaxy Layer 2.
Currently priced at $0.001726, our Solaxy price prediction sees the token potentially reaching $0.032, an incredible 1,754% increase from current levels.
Learn how to buy Solaxy, and be sure to take advantage of the 111% staking rewards during the presale to further boost your $SOLX gains.
3. Ethereum ($ETH) – World’s Number-2 Crypto on a 65% 30-Day Growth
Rumors of Ethereum’s death were, apparently, greatly exaggerated.
Despite being outpaced (and outshined) by Bitcoin, Ethereum’s been on something of a bull run recently. From the successful Pectra Upgrade to recent major whale moves, Ethereum seems to be regaining some of its momentum from the end of 2024, when it briefly crested about $4K.
On the DeFi front, total sector TVL is still sitting at $115B, down 48% from its 2021 high.
But there’s been an increase in TVL since the early part of 2024, when the sector was at a low point. That bodes well for Ethereum’s continued rebound.
Investors looking for the best crypto to explode might want to keep a close eye on Ethereum’s recent progress.
Ethereum is also a natural fit for many institutional investors, with its range of ETFs, and could stand to benefit from any upcoming liquidity influx.
Looser Regulations Set Stage for Bull Run, Keep Banks Happy
Only time will tell how much of an impact the SLR adjustments will have. But for now, news of any impending changes will certainly help reinforce the view that crypto has strong institutional backing and that it’s here to stay.
Do your own research before making any moves of your own. This is not a financial advice column.
But don’t ignore these new crypto projects just as the outlook for crypto turns red-hot.
