What do you get when “the most powerful man in the world” decides to move forward with his pro-crypto policies?
Great question to ask, and it looks like we’re about to find out.
The U.S. Presidency has been called the most powerful position in the world, and Donald Trump has set this week for his cryptocurrency summit.
Alex Carchidi with The Motley Fool writes,
March 7 will see the very first crypto summit to be hosted by the president, at the White House. Major investors, CEOs, politicians, and other notable members of the public will be in attendance, perhaps including financial regulators.
On a basic public relations level, Trump putting on a summit for crypto increases both the visibility and credibility of crypto as an asset class to the average investor. I mean, ending the SEC’s war on crypto
I believe many people will think, “If the President (think, federal government) supports crypto, then maybe I should look into it, too.”
And when they look into it, when they consider investing in crypto, that leads to higher valuations.
It’s simple economics, really: more demand means increased valuations (pricing) for cryptocurrencies that the broader public feel safe in.
Other factors in the summit that could (positively) affect crypto
Carchidi continues:
This kind of event is fully unprecedented in the history of cryptocurrency, and it will doubtlessly move the crypto markets promptly and significantly if any major policies are announced or clarified. What’s more, while volatility is guaranteed, it is very likely that new policy announcements will imply meaty changes to the industry’s potential to grow.
Yes, regulators could actually be talking to those in the industry, and not in an adversarial way (which is what many people typically expect when those two groups talk). And an increased cooperation between regulators and the crypto industry can help with standardization that also will help to increase the broader public’s comfort and interest in cryptocurrencies.
And, again, that leads to higher prices.
So, maybe, the next question to ask is…
Which cryptocurrencies will be most affected?
The short answer is that cryptocurrencies in general will be helped by the summit since it is being put on by Trump and the Federal government.
There’s more news on the federal government / cryptocurrency front. The Strategic Cryptocurrency Reserve (or SCR, formerly the Strategic Bitcoin Reserve) will likely do a very smart thing, and diversify its holdings among several different cryptos.
Bill Pan with The Epoch Times writes that Trump:
…said the SCR would include popular cryptocurrencies such as Bitcoin and Ethereum, as well as lesser-known assets such as XRP, Solana’s SOL, and Cardano’s ADA.
(Heads up – when you open a Digital IRA with us, you have access to every single asset the President specified. Just sayin’…)
Now, just to inject a measure of caution into the conversation, Pan also notes that “[t]he Trump administration has yet to release specifics on how the reserve will function.”
There’s a lot we don’t yet know… Like what its budget will be and where the money will come from. The administration’s “crypto czar” David Sacks did add a few specifics, though:
- The U.S. government will simply retain rather than auction the estimated 200,000 bitcoin seized in criminal and civil proceedings
- A “full accounting” of the government’s bitcoin holdings (which Sacks said have never been fully audited)
- The order allows for the Treasury and Commerce Departments “to develop budget-neutral strategies for acquiring additional bitcoin.”
For a little more about the crypto czar’s plans, see this recent X post:
Just a few minutes ago, President Trump signed an Executive Order to establish a Strategic Bitcoin Reserve.
The Reserve will be capitalized with Bitcoin owned by the federal government that was forfeited as part of criminal or civil asset forfeiture proceedings. This means it…
— David Sacks (@davidsacks47) March 7, 2025
One final note on all this: Sacks tells us the federal government sold some 195,000 bitcoin seized in criminal proceedings over the last decade for a total of $366 million. If the feds had simply HODLed, they’d be sitting on about $17 billion.
In fact, Carchidi noted that “[t]he fact that there’s a crypto summit at the White House at all is a bullish sign for the industry.”
That’s not all, though. In fact…
There are lots of reasons to be bullish about crypto right now
If Trump’s summit and SCR weren’t enough (and they’re a lot, there’s no doubt), the U.S. Senate is working to make crypto even more attractive to investors. Brady Dale with Axios writes,
The Senate Tuesday voted on two measures to overturn crypto-related regulations inked late in the Biden administration.
Why it matters: Both regulations, the IRS’ DeFi broker rule and a digital-payments rule from the Consumer Financial Protection Bureau, are viewed by the crypto industry as overly burdening and crimps to financial innovation.
Now, the House has to also do its part before this deregulation could come into play, but this shows signs that both parties in Congress are willing to play ball when it comes to deregulating crypto.
And this could be an early sign that further innovations in crypto could be coming our way as more companies are able to bring new ideas to market.
And that means…
It’s a great time to decide whether crypto is right for you
Crypto’s future looks very promising, and smart investors who are looking for growth over the long term are diversifying their savings with crypto. If you’d like to do the same, you can sign up for a Digital IRA right now – it only takes about 10 minutes.
If you’re unfamiliar with crypto but would like to find out more about its possibilities and how they can work for you, grab a free copy of our Insider’s Guide to Digital IRAs with absolutely no obligation.
