Once a symbol of financial liberation, the digital asset industry now mirrors the very power structures it vowed to disrupt
Once hailed as a revolutionary force for financial independence, the cryptocurrency industry in the United States now finds itself at the heart of political intrigue, self-interest, and unchecked influence, with its most vocal champions entangled in the highest echelons of power.
Sixteen years after Bitcoin emerged with promises to upend traditional finance and liberate individuals from government control, the industry is accused of becoming indistinguishable from the crony capitalism it set out to destroy. At the centre of this transformation is the Trump administration, where cabinet members, regulators, and even the president’s family have extensive ties to digital assets.
“When offered a Boeing 747 by the government of Qatar to replace Air Force One, President Donald Trump responded: why not? Only someone dumb would turn down free money,” one account noted. The symbolism is stark: no modern presidency has generated so many conflicts of interest so quickly, but the deepest entanglements aren’t found on airstrips—they lie within blockchains.
Top officials now hold vast crypto investments. Major exchanges have poured hundreds of millions into political campaigns, backing allies and targeting opponents with unprecedented financial muscle. The president’s sons promote digital ventures globally, while wealthy holders of Trump-branded meme coins are reportedly rewarded with access to exclusive dinners with the president himself.
“The holdings of the first family are now worth billions, making crypto possibly the largest single source of its wealth,” sources report.
This is a far cry from crypto’s utopian roots. Early adopters championed decentralisation, transparency, and financial emancipation. Today, however, the industry is synonymous with money laundering, fraud, and a “grubby relationship with the executive branch of America’s government.”
International contrasts are striking. The European Union, Japan, Singapore, and other jurisdictions have implemented clear, structured regulations. In these countries, crypto continues to serve meaningful roles, especially in regions where inflation and government expropriation threaten personal wealth.
Despite this, technological progress continues. Real-world assets, including Treasury bonds and commodities, are increasingly tokenised. Financial giants like BlackRock and Franklin Templeton are entering the stablecoin space, while Stripe has launched stablecoin financial accounts in 101 countries and acquired Bridge, a stablecoin platform. Mastercard, too, is enabling transactions using these digital tokens.
Yet these advancements risk being overshadowed. Crypto supporters defend their aggressive tactics during Joe Biden’s presidency, citing an unfavourable regulatory environment under SEC Chair Gary Gensler. Banks distanced themselves, and enforcement actions surged. Now, with most of those cases dropped and the pendulum swinging back, the industry faces a different peril: too little oversight.
“Crypto needs saving from itself in America,” analysts warn. Without clear legislation, the risks of financial instability rise. The collapse of Silvergate, Signature, and Silicon Valley Bank in 2023—each heavily exposed to crypto—offered a cautionary tale. Stablecoins, vulnerable to investor runs, still operate outside traditional banking regulations.
Meanwhile, conflict-of-interest concerns escalate. The Trump family’s entanglement in crypto has already stalled legislation, with a Senate bill failing to proceed on May 8 after several Democratic senators and three Republicans withdrew their support.
By aligning so closely with one political figure, the industry has tied its future to the volatile currents of U.S. electoral politics. “Crypto has been good to the Trumps. But ultimately the benefits of this deal will flow only one way.”
