Trump’s Second Term: How Financial Deregulation Could Reshape Compliance and Marketing in Financial Services

The recent return of Donald Trump to the White House following the November 5 U.S. presidential election signals a potential shift in the business and regulatory landscape in America.

Financial services professionals are closely watching Trump’s next moves as his administration is expected to shake up regulations significantly, particularly through key appointments in financial regulatory bodies.

During Trump’s first term, he rolled back numerous financial regulations in a bid to reduce what he deemed excessive oversight. However, with recent high-profile bank failures, such as the collapse of Silicon Valley Bank, there’s a renewed urgency around banking oversight—making Trump’s regulatory approach a high-stakes topic for the financial sector.

We are entering an unparalleled era of uncertainty. The coming years could be filled with rapid changes in regulatory frameworks. Here’s a look at what could be in store and how financial services compliance and marketing teams can prepare.

1. The Role of the Government Efficiency Commission

One of Trump’s flagship proposals is the creation of a Government Efficiency Commission, which he plans to appoint Tesla CEO Elon Musk to lead. Musk has suggested that up to $2 trillion could be trimmed from the federal budget, potentially reshaping the government’s role in regulating industries.

Musk’s advocacy for less federal oversight could translate into fewer compliance rules for certain sectors, including financial services. The promise of reduced oversight may appeal to many in the industry, but it raises questions about how these changes will impact the compliance landscape.

Will efficiency mean fewer rules or a simplification of regulatory processes? The outcome is uncertain, but the potential shift toward deregulation has many compliance professionals preparing for rapid adaptation.

2. Will Trump be the “Crypto President”?

Trump has declared his intention to become the “crypto president.” This approach likely includes the removal of current Securities and Exchange Commission (SEC) Chair Gary Gensler, known for his strict stance on the crypto industry, which has led to lawsuits against major players like Coinbase. A new SEC chair under Trump could revisit—and possibly reverse—some of the restrictive policies that have made it challenging for the crypto industry to operate in the U.S.

This shift could pave the way for a more lenient regulatory approach, possibly reducing documentation requirements and creating exemptions that make compliance for crypto firms more manageable.

For marketers in this space, a looser regulatory stance may provide an opportunity to promote crypto products more freely—but with fewer restrictions, firms must still prioritize risk management and clear communication to maintain trust and brand value with customers.

3. Key Financial Regulators Set for Replacement

Trump’s administration could bring about significant changes at top regulatory agencies, with leadership transitions anticipated at:

• Office of the Comptroller of the Currency (OCC)

• Consumer Financial Protection Bureau (CFPB)

• Securities and Exchange Commission (SEC)

• Federal Deposit Insurance Corporation (FDIC)

• Federal Trade Commission (FTC)

• Federal Reserve (changes expected by 2026)

The replacement of these key roles with industry-friendly Republicans could mean a more favorable regulatory environment for banks and financial institutions, particularly for large players like JPMorgan, Goldman Sachs, and Bank of America.

Additionally, the Consumer Financial Protection Bureau (CFPB) may see shifts in its authority, potentially reducing its oversight of financial institutions and enforcement actions.

For compliance teams, this could mean a rollback of certain requirements, but it also emphasizes the importance of internal governance as external checks may diminish temporarily.

4. Potential Rollback of Banking Regulations

The deregulation-friendly atmosphere of Trump’s first term may return, including a possible relaxation of capital requirements, a reprieve from Biden’s crackdown on “junk fees,” and modifications to the Volcker Rule, which restricts banks from engaging in certain investment activities.

The proposed Basel III-based capital rules, which require banks to set aside greater buffers, could also be scrapped under Trump’s administration, a decision welcomed by banks that have long argued against the regulation.

However, this doesn’t mean banks can become complacent. Even if certain regulatory burdens are lifted, banks should maintain prudent internal controls and focus on robust risk management to avoid reputational risks and financial instability.

5. Implications for Compliance and Marketing Teams in Financial Services

For compliance and marketing professionals, Trump’s return signals the possibility of an evolving regulatory environment that may prioritize efficiency over stringent oversight. This could lead to several changes:

• Increased Flexibility in Marketing: Fewer restrictions on advertising and promotions could enable financial services marketers to adopt more aggressive strategies and launch innovative products. However, with reduced oversight, there’s also a heightened risk of non-compliance, meaning marketers must still communicate potential risks effectively.

  
  

  
  

• Shifts in Compliance Requirements: As rules around customer communications and product disclosures evolve, compliance teams will need to stay agile, continually reassessing and updating their frameworks to remain aligned with regulatory expectations.

  
  

  
  

• Heightened Need for Internal Governance: Even in a relaxed regulatory environment, maintaining a strong internal compliance program is critical to protecting the organization’s reputation and fostering trust with customers. With fewer regulatory checkpoints, the responsibility for managing risk effectively falls even more squarely on the organization.

  
  

Prepare for the Future with Warrant

In times of regulatory uncertainty, the need for robust compliance documentation and fast, efficient review processes becomes paramount. Warrant is designed to help marketing and compliance teams navigate these complexities, ensuring that no matter how the landscape changes, your team remains compliant and audit-ready. Our platform streamlines the documentation, review, and tracking of marketing materials, so you’re always a step ahead, even in a shifting regulatory environment.

The next four years may bring sweeping changes to the financial regulatory landscape, and organizations must be ready to adapt. With Warrant, you can embrace this new era confidently, ensuring your compliance processes are both agile and effective. Stay tuned to our blog as we continue to monitor developments and provide insights on how to navigate regulatory shifts.

Get in touch to learn more.

Sources: Yahoo Finance, Yahoo Finance, Fast Company, AP News, NY Times