Trump Embraces Crypto: Bitcoin Soars as Inauguration Nears
Washington, D.C. - Bitcoin (BTC-USD) reached a staggering peak of over $109,000 in the early hours of Monday, signaling a bullish sentiment within the cryptocurrency industry ahead of President-elect Donald Trump's inauguration.
Once a skeptic, Trump has become an ardent supporter of digital currencies. He has established a new cryptocurrency venture and pledged to make the U.S. the global "crypto capital" during his presidency.
Trump's promises include creating a U.S. crypto stockpile, enacting favorable regulations, and appointing a crypto "czar" for his administration. Notably, he has stated, "You're going to be very happy with me" to crypto-enthusiasts at a conference last summer.
Bitcoin, the most prevalent cryptocurrency worldwide, has witnessed remarkable growth since its inception in 2009. It has gained mainstream traction but remains a volatile investment. Its use in illicit activities has attracted criticism, but crypto has consistently outperformed naysayers and survived market dips.
Crypto industry investors, disgruntled by the Biden administration's perceived hostility, contributed heavily to Trump's election victory. Bitcoin has been on a surge since then, briefly exceeding $100,000 before a slight decline. It climbed over 5% on Friday and gained $9,000 on Monday, according to CoinDesk.
Two years ago, bitcoin traded near $20,000. Trump's cabinet and regulatory appointments include several crypto advocates, such as the Treasury and Commerce secretaries and the SEC head.
Key Actions Expected in Early Days of Trump Administration:
Crypto Council: Trump will likely create an advisory council to guide clear and concise crypto regulations within 100 days of his presidency. Tech executive and venture capitalist David Sacks has been named the administration's crypto "czar."
SEC Advocacy: Trump's SEC pick, Paul Atkins, has been a vocal proponent of cryptocurrencies. He has pledged to rollback excessive enforcement actions and stifle innovation.
Strategic Bitcoin Reserve: Trump has expressed plans to stockpile bitcoin for the U.S. government, akin to gold reserves. The draft executive order proposes a "Strategic Bitcoin Reserve" managed by the Treasury Department.
Ross Ulbricht Case: Trump has pledged to commute the life sentence of Ross Ulbricht, founder of the cryptocurrency-based drug marketplace Silk Road. This move has garnered support from crypto advocates and Libertarian activists.