Former President Donald Trump took center stage Monday in a highly anticipated online event, unveiling his latest business venture—World Liberty Financial—a cryptocurrency company linked to his family. Leveraging his third bid for the White House, Trump aims to fuse politics and finance, riding the wave of digital currencies and decentralized finance (DeFi).
During the livestream, Trump extolled the virtues of cryptocurrencies while discussing issues like border security and even referencing a second assassination attempt. However, he made no direct mention of World Liberty Financial by name. “If we don’t do it, China will,” Trump remarked to crypto investor Farokh Sarmad from Mar-a-Lago. “China’s already doing it. But if we don’t, we won’t be the biggest, and we have to be the best.”
Trump’s newfound enthusiasm for crypto is a surprising turn. Once a critic, the former president now champions the industry, pledging to make America the “world capital for crypto and bitcoin” should he reclaim the White House. Earlier this month, he hinted at loosening federal regulations on digital currencies and even proposed a strategic reserve of Bitcoin.
The Path to Pro-Crypto
Initially indifferent to digital currencies, Trump credits his family for opening his eyes to crypto’s potential. His pivot began in earnest with the success of his Trump-branded NFTs, digital trading cards depicting him in various costumes, which earned him over $7.2 million in 2023.
Cryptocurrencies, which function as digital cash outside the traditional banking system, have gained significant popularity, especially among younger men and those skeptical of government interference. During the livestream, Trump noted: “I think my children opened my eyes more than anything else.”
World Liberty Financial is a DeFi platform, allowing users to engage in financial activities like borrowing, lending, or trading without intermediaries like banks or stock exchanges. Trump has positioned DeFi as a way to liberate everyday Americans from what he sees as the financial stranglehold of “big banks and elites.” His son, Donald Trump Jr., echoed this sentiment: “It’s a real problem that needs to be addressed, and honestly, I think this is the way.”
However, DeFi has its critics. While crypto proponents like Steve Witkoff, a close Trump ally, praise DeFi’s potential to democratize finance, regulators warn of its unregulated nature and potential for misuse in illicit activities.
A Mixed Reception
While Trump’s support for crypto may broaden its appeal, some industry observers are skeptical. “It could be good for crypto in that it’s reaching populations that have been wary,” said Seoyoung Kim, author of DeFi for Dummies. “More people may open a crypto account, even if they don’t fully understand what it is.”
Trump’s views on crypto have shifted dramatically over the years. During his presidency, he referred to Bitcoin as a “scam” and warned that cryptocurrencies were a haven for illicit activities. In 2019, he tweeted: “Cryptocurrencies are not money and are highly volatile, based on thin air.”
Now, as the 2024 Republican nominee, Trump has embraced the digital currency industry, telling tech executives in San Francisco that he aims to be a “crypto president.” In a recent statement to a major industry gathering, he remarked, “If crypto is going to define the future, I want it mined, minted, and made in the USA.”
However, critics are concerned that Trump could use his position—should he be reelected—to benefit his own financial interests. Some observers have raised ethical red flags about World Liberty Financial’s operations. “Nothing I’ve seen suggests they have the right people in place for security or economic design,” said Austin Campbell, a crypto expert. “I can’t, in good faith, recommend anyone put their money in this.”
Witkoff, one of the company’s founders, alongside Trump’s sons—Donald Trump Jr., Eric Trump, and Barron Trump—has played a crucial role in introducing the Trumps to key figures in the crypto world. Trump’s exact role within World Liberty Financial remains unclear, although he has been dubbed the “chief crypto advocate” in internal reports.
As Trump’s political and business ambitions converge, the world will be watching closely to see whether his crypto gamble pays off or raises more questions about mixing politics with personal profit.
For the full report, check out USA Today’s coverage.
