Public cryptocurrency exchange data (e.g., Coinbase, Binance)

Trump's Crypto Push: Strategic Bitcoin Reserve, DeFi Investments, and Potential SEC ETF Approval

Dec 12, 2024, 09:12 PM

Donald Trump, the President-elect, has reaffirmed his intention to make the United States a leader in the cryptocurrency industry. His statements include plans for a strategic Bitcoin reserve and significant investments in various cryptocurrencies through World Liberty Financial Inc. (WLFI), a venture backed by his family. WLFI has made substantial investments in Ethereum (ETH), Chainlink (LINK), and Aave (AAVE), with a notable $50 million acquisition of DeFi tokens. Trump's portfolio, now valued at over $15 million, includes meme coins, Ethereum, and NFTs, signaling a new era for politics and blockchain. The investments have led to a surge in the prices of LINK and AAVE, with LINK increasing by over 20% and AAVE by more than 33% following WLFI's purchases. Trump's crypto-friendly policies and his role as 'chief crypto advocate' at WLFI raise concerns about potential conflicts of interest, especially given the involvement of Tron, a platform linked to criminal and militant groups, as a major investor in WLFI. The U.S. Securities and Exchange Commission (SEC) is also considering a Bitcoin-Ethereum combo ETF, reflecting the growing institutional interest in cryptocurrencies. Analysts at CryptoQuant predict Ethereum could soon break above $5,000 per coin due to increased institutional demand.