Donald Trump’s first 100 days in office have brought significant turmoil and change for the cryptocurrency industry. Following the launch of a memecoin linked to his family firm, the crypto markets have faced instability due to trade wars and regulatory shifts. While some pro-crypto leaders were appointed to key positions, controversies surrounding Trump’s ties to cryptocurrency projects raise ethical concerns. As the crypto community seeks regulation clarity, ongoing market fluctuations hint at more challenges to come.
In the first 100 days of Donald Trump’s presidency, the impact on the cryptocurrency industry has been significant, marked by near-chaotic swings in the crypto markets. Initial excitement surrounding the launch of his family’s memecoin quickly turned to concern as a broader trade war began to shake investor confidence. The turmoil in global markets, driven particularly by trade tariffs, has sent Bitcoin prices tumbling and raised alarm among miners who find it harder to maintain profitability. Yet not all is bleak—there’s a silver lining in the government’s pro-crypto appointments, hinting at future regulatory frameworks that could usher in a new era for crypto.
From day one, Trump set the stage for a pro-crypto administration with the appointment of individuals like Paul Atkins to the SEC and David Sacks as the ‘crypto czar.’ This was a bold move away from the previous leadership that many in the crypto community viewed as unfriendly. Meanwhile, the expectations for a forthcoming regulatory framework for the crypto industry have never seemed closer to fruition. Such foundational changes, some observers note, indicate that Trump might indeed be taking the crypto sector seriously.
The January 20 memecoin launch was, of course, a notable and contentious start. This token, launched by World Liberty Financial, quickly drew interest, though it remains non-tradable for now. It exemplified the mix of opportunity and ethical quandaries that Trump’s administration brings to the forefront of America’s crypto scene. As day one unfolded, it was clear that this would set an intriguing tone and potential conflict in terms of governance of cryptocurrency.
Fast forward to January 21, where Trump then announced a $500-billion AI infrastructure plan, largely driven by key players like OpenAI. Touted as the means to keep the US at the forefront of AI technology, the initiative aims to tackle job creation and internal innovation. This initiative further embeds technology and, indirectly, crypto into the national policy context—making it all seem very timely.
By the end of January, Trump was making headlines again when he hinted at a commutation for Ross Ulbricht, the founder of Silk Road. For many in the crypto community, this move was seen as a nod to Bitcoin’s early adopters and a signal of potential shifts in how digital currencies might be legislated. However, the tumultuous climate of tariffs started soon after with damaging effects on market sentiment.
The dispute over trade culminated in sweeping tariffs affecting major partners, leading to an immediate impact on stocks and cryptocurrencies. In early February, the reality of these tariffs became evident as both Mexico and Canada retaliated, causing market fears to mount. The trade landscape under Trump has triggered anxiety not just across traditional markets but has also rattled the foundations of the crypto industry.
On March 7, Trump’s creation of a “strategic Bitcoin reserve” was perhaps one of the more surprising developments. The reserve, however, disappointingly lacked clear purchasing plans for new Bitcoin, merely consolidating seized crypto assets. Critics noted that this wasn’t the robust action the crypto community had anticipated but more a bureaucratic grab at Bitcoin’s rising profile.
March saw the crypto community gather at the White House, discussing regulations and the pathway to a more stable industry. Opinions from some attendees varied significantly, with certain voices pushing back against Trump’s approach, insisting that substantial legislative change requires Congress’s support, not just executive orders.
In March, the WLFI stablecoin was also unveiled, while ethical questions about potential conflicts of interest surrounding Trump’s crypto endeavours emerged more frequently. Such dynamics continued to spark debate about governance in the fast-evolving crypto space.
By April, Trump expanded on his aggressive trade policies, reigniting tensions once more, dubbed “Liberation Day,” which only added fuel to the market’s woes. Critics were vocal in portraying the administration’s first phase as critically damaging—warned by individuals like Anthony Scaramucci, who described a bleak landscape for both the economy and cryptocurrency miners.
Most notably, Trump’s invitation for top memecoin holders to a $300,000 dinner raised eyebrows—and impeachment calls. Lawmakers are concerned about a president profiting from access to the White House and policy influence, with the complexity of his crypto relationships coming under increasing scrutiny.
In summary, these chaotic first 100 days not only sent shockwaves through cryptocurrency but also revealed ethical concerns that will likely linger. As regulatory measures like the STABLE Act seek to provide some clarity, many in the crypto community will be watching closely to see if this administration can successfully navigate the rocky waters ahead while avoiding further controversies.
