Why $TRUMP Is Good for Crypto
On 9pm on Thursday night, while the crypto bros were celebrating at the Crypto Ball in Washington D.C., Trump announced on Truth Social (45 minutes before he announced on Twitter), that he launched $TRUMP.
I got in to crypto, in June, 2017, in part, because of my belief that the U.S. government is not our friend, as evidenced in countless ways, including by Operation Choke Point.
I also got in to crypto because, per the Ray Dalio chart below, I believe the U.S. is in an inexorable decline, as happens to all empires. Interestingly, per the chart, our 200+ year rise was a pretty straight line, regardless of the party in power, as has been our 60 year decline.
But the awesome thing about bitcoin is, while it matters in the short run what the government does, in the the long run, IMHO, it does not matter.
But in the short run it can be very impactful. And I think $TRUMP is very bullish short term, because:
In Order For Crypto To Go Mainstream, People Need To Get Off Zero
People need a reason to get off zero. Before $TRUMP, the most bullish event in my 7.5 years 24/7 crypto was SVB’s collapse, of which I wrote:
And the one great thing was …
In the month after the collapse, Bitcoin rocketed 50%+.
Per Moonshot, in the 24 hrs after $TRUMP was launched, 400k NEW people were onboarded to crypto:
Who knows how many people are going to get onboarded to crypto by $TRUMP, but it feels like an important moment in for crypto. Because once those $Trump holders are onboarded to crypto, somewill inevitably find their way to Bitcoin and other tokens.
Who knows if they’ll add utility to $TRUMP? But it’s drop dead simple to come up with ways they could drive demand for the next four years.
I’ll make two predictions:
- Trump will say that $Trump should be considered as part of any Crypto Strategic Reserve
- $TRUMP will start their own Layer 1 and ecosystem. Wouldn’t you if you were $TRUMP? Why let all that value go to the Solana ecosystem.
I get why so many people think it’s horrific for the industry. But I think they’re missing the big picture. As Chris Burniske wrote about $TRUMP:
Permissionless innovation is wild and messy, and sometimes supremely cringe — but it is representative of society as a whole. I encourage everyone to see all sides of a situation and its ramifications, even if the knee-jerk reaction is negative.
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This content is for educational purposes only. It does not constitute trading advice. Past performance does not indicate future results. Do not invest more than you can afford to lose. The author of this article may hold assets mentioned in the piece.
