The Trump administration’s pro-crypto policies are now encouraging some US-based founders to re-enter or expand their involvement in the cryptocurrency industry.
The policies highlight a pivot from the Biden administration’s stricter regulatory approach, which many say stifled innovation and forced companies to seek greener pastures offshore.
Crypto in America is booming again
With Joe Biden gone and Gary Gensler replaced, America’s attitude towards crypto has drastically improved.
According to reports, the positive reversal in US policy towards crypto has triggered a reversal of the trend of declining US founders, even though Africa remains the fastest-growing region for founder activity.
Pro-crypto policies like the recently passed GENIUS Act and the revelation of plans to establish a strategic Bitcoin reserve are largely seen as positive signs of promises kept by the President Donald Trump administration regarding crypto.
Cryptopolitan has also reported on the growing wave of US crypto firms filing to go public, motivated by the pro-crypto policies under Trump’s administration.
This pivotal shift has been praised by crypto natives and industry leaders like Vlad Tenev of Robinhood, who have noted the difference between Biden’s oppressive era and Trump’s permissive one.
Two notable founders who have resurfaced in the US include Chase Herro and Zak Folkman, who were previously involved with Dough Finance but are now linked to World Liberty Financial, a crypto venture linked to the Trump family.
Trump has been great for crypto
President Donald Trump may be a champion for the crypto cause now, but the Republican maverick politician had little love for the industry before last year.
He abandoned his longstanding doubts following an effective lobbying campaign spearheaded by crypto executives who were desperate for the country to leave behind its cautious stance towards crypto, which had prompted years of regulatory battles in Washington.
Since he assumed his role as POTUS, Trump has influenced the passing of pro-crypto policies that have satisfied those who lobbied to change his mind. However, while many now praise him for the current trajectory the US is on, he has also received criticism for enriching himself and his family in the process.
Critics consistently call out his conflict of interest despite considerable efforts to distance himself from his family’s gains from making digital currencies a cornerstone of the family business in the past couple of months.
Just days before his inauguration, he marketed a memecoin that raked in millions. Together with his sons, he also has links to the crypto start-up, World Liberty Financial, which offers the popular USD1 stablecoin.
In May, the group State Democracy Defenders Action released a report that claimed the president’s crypto holdings now represent nearly 40% of his net worth — approximately $2.9 billion.
“The bottom line is it appears like he’s profiting off of his public office,” Virginia Canter, State Democracy Defenders chief counsel for ethics and anticorruption and co-author of the report said.
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