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⚖️ Trump changing cybersecurity regulations
Liam Gill
June 21, 2025
Trump Dismantles Key Cybersecurity Directives
President Donald Trump has signed an executive order revoking and revising key cybersecurity policies enacted by former Presidents Barack Obama and Joe Biden. The order strikes a range of initiatives, including requirements for federal agencies to adopt quantum-resistant encryption, mandates for digital identity recognition in public benefits programs, and Biden-era provisions promoting the use of AI to secure critical infrastructure. It also repeals Obama-era policies enabling sanctions against domestic actors engaged in cyberattacks. The administration claims these rollbacks eliminate compliance-heavy mandates and realign cybersecurity policy to prioritize “genuine security investments” over “censorship” and “checklist-driven” governance.
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Policy Shift from Secure Innovation to Political Signaling
The order signals a shift in U.S. cybersecurity policy away from proactive innovation toward a narrower, politically charged interpretation of digital security. Removing AI cybersecurity research programs, federal digital ID support, and encryption modernization efforts undermines long-term cyber resilience. Experts warn this change weakens national defense capabilities in favor of perceived short-term regulatory relief. The emphasis on avoiding “censorship” in AI policy — a nod to conservative concerns over content moderation — replaces practical security imperatives with ideological messaging. While some contractors may find fewer reporting burdens, the rollback raises alarms among cybersecurity professionals who see it as removing necessary guardrails in an era of rising digital threats.
For Startups, Fewer Rules Doesn’t Mean Less Risk
Startups in cybersecurity, digital identity, and AI should not interpret this rollback as a green light to ignore security standards. If anything, the removal of federal mandates increases the burden on startups to self-regulate, as clients — especially in enterprise and defense — will still demand security assurances and compliance with industry best practices. Founders building in AI, identity verification, or encryption should keep pace with global frameworks (like NIST or GDPR-adjacent regimes) and not rely on a deregulated U.S. federal environment as a long-term foundation. If your product touches sensitive data or infrastructure, build defensively — because the market, not just Washington, will hold you accountable.
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