Trump and Bitcoin: From TRUMP Coin to Encryption Revolution

In 2025, former U.S. President Donald Trump returned to the White House, focusing on Bitcoin The series of policies and personal actions launched not only stirred up the encryption market but also profoundly influenced the development path of global digital assets. From issuing personal Meme coins to promoting Bitcoin as a national strategic reserve asset, Trump’s ‘encryption ambition’ is reshaping the industry landscape.

Policy Shift: From Skeptic to Bitcoin Strategic Reserve Advocate

Trump’s attitude towards Bitcoin has undergone a dramatic change. As early as 2019, he publicly criticized cryptocurrencies as ‘not money’; but during the 2024 election campaign, he loudly promised to ‘make America the global capital of cryptocurrencies’ and quickly took action after taking office.

In March 2025, Trump signed an executive order to include Bitcoin in the national strategic reserve assets, on par with gold, and disclosed that the US government currently holds approximately 200,000 Bitcoins (mainly from judicial seizures), planning to establish a reserve system similar to a “digital version of Fort Knox”.

Its decision-making logic includes:

• Hedging the US Dollar credit crisis: US national debt surpasses 35 trillion US dollars, Bitcoin’s deflationary properties are seen as a tool to resist inflation;
• Competing for the dominance of digital currencies: Facing the cross-border settlement pilot of other countries’ central bank digital currencies (such as DC/EP), Bitcoin can serve as a complement to the dollar system;
• Attracting Young Voters: About 25% of the 18-35 year old population in the United States hold cryptocurrency assets, and the policy shift aims to win the votes of this group.

Despite the short-term market’s muted response (Bitcoin briefly fell 4%), the policy provides an important confidence anchor for institutional investors in the long run. Vaneck analysts referred to it as a “key milestone for Bitcoin’s inclusion in mainstream asset portfolios”.

Family Coin: Monetizing Influence

The Trump family’s ‘marketing ability’ in the field of encryption is phenomenal. In January 2025, Trump issued his personal Meme coin TRUMP, which skyrocketed by 15,000% in just 12 hours, with a market value once surpassing 800 billion US dollars, leading the trading platform Moonshot to the top of the Apple App Store rankings. The MELANIA coin launched by his wife, Melania, also surged within two hours, but then the TRUMP coin plummeted by 60%, exposing the speculative risk highly dependent on the celebrity effect.

Industry controversies sparked include:

• Centralization Paradox: The Trump family controls about 80% of the TRUMP token supply, criticized for ‘capitalizing influence’ and deviating from the spirit of encryption;
• Market Siphon Effect: The TRUMP coin craze has temporarily diverted resources from AI, DeFi, and other tracks, exposing the impact of Meme coins on the market structure.

Despite ongoing controversy, Trump’s coin issuance objectively injected new traffic into the encryption market. DWF Labs partners called it the “most effective marketing in the industry”.

White House Summit and Regulatory Relief: Reshaping the Encryption Ecosystem

On March 7, 2025, Trump hosted the first White House cryptocurrency summit, inviting many Web3 Corporate executives discuss regulatory clarity and institutional adoption.

US Treasury Secretary Bettson stated at the meeting that stablecoins can be used to strengthen the global position of the US dollar, and promised to end the ‘weaponization of regulation,’ and promote tax cuts and regulatory clarity reforms.

The double-edged sword of policy effects:

• Short-term fluctuations: Policy statements often trigger strong market reactions. For example, announcing the inclusion of Bitcoin in the national reserves led to its price rising from $79,000 to $94,000 within three days; however, the subsequent news of tariff imposition triggered a pullback;
• Long-term bullish: Institutional interest increasing. Standard Chartered Bank predicts that Bitcoin is expected to surpass $500,000 during Trump’s tenure.

Trump’s “America Coin First” strategy is reshaping the industry power structure:

• Localization of projects: Solana, XRP and other “American native” projects are attracting developers back under policy support;
• Security standards evolution: The $1.5 billion theft incident at Bybit has prompted trading platforms to widely introduce Zero-Knowledge Proof and AI security monitoring systems, ushering in an industry-wide security system upgrade.

Conclusion: A New Order in Chaos

Trump’s encryption policy is like a ‘controlled storm,’ bringing short-term volatility and centralization controversy, while also releasing policy dividends and global attention. Under Trump’s influence, although the price of Bitcoin fluctuates frequently, its core values of decentralization and censorship resistance will ultimately transcend political cycles. As analysts put it, ‘Bitcoin does not belong to any politician; it is the digital Noah’s Ark of our time.’

In the future, the encryption industry will face a fundamental issue: how to strike a balance between policy dividends and decentralized ideals. And Trump’s “encryption experiment” undoubtedly provides a highly controversial real-life sample for this proposition.