Trump supports U.S. crypto companies like XRP, not Bitcoin, disillusioning enthusiasts.

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Over recent months, Bitcoin enthusiasts have been abuzz with speculation that former President Donald Trump would fully embrace Bitcoin and establish a Bitcoin Strategic Reserve. The excitement around this idea was sparked by Trump’s previous pro-crypto rhetoric and his ambitious promises to position the U.S. as a leader in the cryptocurrency space. However, recent developments indicate that this expectation might have been overly optimistic.

Despite the fervor, Trump seems to be shifting his focus towards supporting U.S.-based cryptocurrencies, notably XRP. Reports suggest that Trump is keen on establishing a strategic reserve prioritizing U.S. crypto assets such as USD Coin (USDC), Solana (SOL), and XRP, rather than Bitcoin. This revelation has left many in the Bitcoin community feeling disheartened and frustrated.

The concept of a national Bitcoin reserve gained momentum in July 2024, following Trump’s appearance at the Bitcoin 2024 conference in Nashville, Tennessee. During his speech, Trump assured the audience that his administration would never sell off the U.S. government’s Bitcoin holdings. This promise led to the introduction of the Bitcoin Act by Senator Cynthia Lummis, which proposed a plan for the U.S. Treasury to acquire up to 200,000 BTC annually, aiming to build a reserve of 1 million BTC.

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However, recent actions by Trump suggest a different trajectory. He has been seen engaging with key figures in the U.S. crypto industry, including Ripple CEO Brad Garlinghouse and chief legal officer Stuart Alderoty. These interactions have fueled speculation that Trump’s administration may be more inclined towards altcoins than Bitcoin, a move that has stirred controversy within the crypto community.

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The broader crypto market remains volatile, with Bitcoin experiencing significant price swings. In early November 2024, just before Trump’s election victory, Bitcoin was trading at around $68,300. Following the election, the price surged past $100,000, driven by optimism surrounding Trump’s pro-crypto stance. However, the sustainability of this surge is uncertain, as doubts linger about whether Trump’s administration will deliver on its promises.

As we move into 2025, the future of Bitcoin and the broader cryptocurrency market remains in flux. While Trump’s pro-crypto rhetoric has generated excitement, it remains to be seen if his administration will follow through. For now, Bitcoin enthusiasts will have to wait and see how these developments unfold.

Sources:

https://x.com/JacobKinge/status/1879898574940782890

https://www.msn.com/en-us/money/markets/trump-reportedly-receptive-to-strategic-reserve-with-us-based-cryptos/ar-AA1xjtZx

https://www.msn.com/en-us/politics/government/the-trump-bump-gave-bitcoin-a-massive-boost-but-will-it-last/ar-AA1xgaHk

https://www.investopedia.com/trump-bump-in-crypto-8771680


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