The first 100 days of Trump’s administration were deeply identified by the cryptocurrency industry. Among the appointments favorable to this industry, the creation of a strategic bitcoin reserve and a trade war with important consequences, the balance sheet remains contrasting according to experts, some even qualifying this period “95 worst days of modern presidential history”.
In short
- Trump created a bitcoin strategic reserve, but only with crypto-active in legal operations
- The World Trade War initiated Trump caused the market instability that also affected the crypto sector
- Many procrypt appoints took place in key government agencies such as Dry and CFTC
A specific action for the American crypto industry
His inauguration on January 20 made Trump a crypto sector with a priority. He appointed several personalities favorable to Kryptos in strategic positions, including Paul Atkins in drought to replace Gary Gensler, considered hostile to the industry.
David Sacks was named “Carpto and AI” while Brian Quintens took the head of Cftc.
Creating an internal working group dedicated to cryptus by the presidential decree meant the desire to make the United States “world capital Kryptos”.
The same regulations banned the establishment of a digital central bank currency (MNBC), a controversial entity in a crypto community that considers it a risk of increased state supervision.
On March 7, Trump made one of his promises of the campaign by creating a “bitcoin strategic reserve”.
However, this initiative proved to be less ambitious than expected: instead of direct purchasing Bitcoins by the government, the reserve will be satisfied with the grouping of crypts specified during legal operations, with the possibility of further purchases only if they remain “neutral at the budget level”.
Trade war with severe consequences for the market
Trump’s aggressive business policy has significantly influenced the crypto sector. At the beginning of February, the announcement of drastic cells in Canada, Mexico and China caused the first decline in markets.
This situation deteriorated on April 2 “day of liberation”, when Trump imposed customs obligations at least 10% on all business partners in the United States.
This policy led to a general decline in markets and raised concerns about the immediate recession.
Anthony Scaramucci, a former Bílý House’s communication director, estimated that “the stock market lost $ 9,000 billion” and that the economy “now on average will be a recession, even a deep recession”.
American minors of bitcoin are particularly influenced by the increase in operating costs, especially for the purchase of new mining platforms, now subject to high customs. This situation threatens their profitability in context, when international competition remains strong.
Ethical discussions that weaken legislative progress
Trump’s personal links with the crypto industry increase strong controversy. The WLFI family project raised ethical questions, especially after the Stablecoin USD1 25, March 25, a few days after getting more than $ 500 million.
American legislators asked for an investigation and quoted a conflict of interest between presidential office and this financial project.
The situation deteriorated on April 25 with rumors that the main holders of the same Trump could dine with the President for $ 300,000. Although she rejected this accusation, she pushed the democratic senator Jon Ossoff to “firmly” support the release of the President.
According to Scaramucci, these controversies threaten legislative efforts in this sector:
Trump lit it all so much that he implemented the legislation of the stablecoins even more difficult.
Despite everything, progress is remarkable, for example, a stable law approved in Committee 3. April, which is now waiting for a general vote before transfer to the Senate.
In short, despite ambitious promises and specific measures, Trumpa has a contrasting evaluation for the crypto industry for the first 100 days. If the administration laid important milestones for the development of the sectors, ethical controversy and the consequences of trade wars these advances weaken and arouse fears for the future.
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Passionate Bitcoin, I like to explore meanders blockchain and cryptos and share my discoveries with the community. My dream is to live in a world where privacy and financial freedom is guaranteed for everyone, and I firmly believe that Bitcoin is a tool that can make it possible.
Renunciation
The words and opinions expressed in this article are involved only by their author and should not be considered investment counseling. Do your own research before any investment decision.
