Donald Trump’s inauguration as the 47th U.S. President on January 20th featured a speech emphasizing American innovation and entrepreneurship. Noticeably absent, however, was any mention of cryptocurrencies, a stark contrast to his campaign rhetoric that resonated with the crypto community. Neither his address nor the administration’s “America First Priorities” acknowledged the digital asset space. Instead, the initial focus centered on public safety, energy independence, government reform, and the restoration of “American values,” as outlined on the White House website.
Throughout his campaign, Trump championed cryptocurrencies, vowing to integrate them into national policy, safeguard self-custody rights, and resist a central bank digital currency (CBDC), a concept some Republicans fear could facilitate government surveillance. Further commitments included commuting Ross Ulbricht’s sentence and establishing a dedicated crypto council featuring industry representatives. Yet, these pledges remained unaddressed during his inauguration and subsequent White House communications.
The crypto market reacted with pronounced volatility. Bitcoin, which had ascended to an all-time high exceeding $109,000 pre-inauguration, retreated to approximately $104,000 following the speech. Pre-inaugural optimism surrounding Trump’s potential pro-crypto stance had fueled a 50% rally since his election victory. Platforms like Polymarket registered a decline in confidence regarding the establishment of a U.S. strategic Bitcoin reserve within Trump’s first 100 days, falling from 60% to 45%. Conversely, Kalshi bettors maintained a 60% probability for such a reserve being enacted within the year.
Amplifying market fluctuations, Trump unveiled the TRUMP token on the Solana blockchain days before his inauguration. The memecoin surged over 490% in its initial 24 hours, achieving a market capitalization nearing $11 billion. The launch triggered mixed responses, with critics like Nic Carter denouncing it as “preposterous” in a Politico article. Trump also endorsed World Liberty Financial, a DeFi protocol positioning him as “chief crypto advocate.” This project drew criticism for its perceived lack of seriousness, likened to a meme masquerading as a substantial initiative.
Despite the initial absence of concrete crypto-related actions, Trump’s appointments hinted at potential future developments. Venture capitalist David Sacks assumed the role of “AI & Crypto Czar,” while crypto proponent Paul Atkins was nominated to head the Securities and Exchange Commission (SEC). These selections suggest a willingness to engage with the crypto industry, though tangible policies remain undefined.
While the omission of crypto from the administration’s early agenda disappointed some, industry insiders retain optimism. Expectations persist for forthcoming executive orders addressing the sector, potentially encompassing a crypto council and revisions to contentious SEC policies.
