The cryptocurrency business is actively supporting Donald Trump's second inauguration, having invested more than $10 million in his inaugural fund. Major donors include leading crypto companies such as Ripple, Coinbase, Kraken, Robinhood, and Circle, Politico reports.
These contributions, which are part of broader plans to increase the crypto industry's influence in Washington, demonstrate the industry's expectations for a favorable regulatory environment under Trump's leadership. The president-elect has pledged to support the development of cryptocurrencies by creating a new regulatory framework tailored to the needs of the industry, which is a far cry from the more stringent approaches taken during the Biden administration.
In addition to the inaugural fund, the crypto industry spent more than $160 million in the 2024 elections to support candidates who favor the development of cryptocurrencies. Such aggressive financial support has cemented the status of cryptocurrencies as a powerful new player in American politics.
The crypto companies are also organizing an unofficial inaugural ball at the Andrew W. Mellon Auditorium in Washington, D.C., which will feature a performance by Snoop Dogg. The event, sponsored by Stand With Crypto (a lobbying group backed by Coinbase), Anchorage Digital, Exodus, and other companies, has become popular among crypto entrepreneurs and lobbyists looking to strengthen their ties with the new administration.
Trump has announced plans to create a digital asset advisory council to be headed by future White House crypto advisor and open Ukrainophobe David Sachs and former congressional candidate Bo Hines. This council is expected to determine the administration's policy on cryptocurrencies.
The donor activity has already drawn criticism from Democrats and watchdog groups who claim the industry is using financial influence to shape government policy. Senator Elizabeth Warren (D-Massachusetts), a prominent critic of the crypto industry, called the contributions an attempt to "buy this government."
With Trump taking office, the crypto industry is preparing for a transformative period. With the promise of regulatory reforms and initiatives to spur industry growth, the next four years could determine the future of cryptocurrencies in the United States. Time will tell whether the industry's aggressive campaign will translate into lasting policy change.