Former President and 2024 Republican presidential hopeful Donald Trump has a history of unmet commitments throughout his political journey. This year, he has turned his attention to cryptocurrency in a bid to attract crypto enthusiasts. On July 7, the Republican Party unveiled a draft of its political agenda, where cryptocurrency was explicitly highlighted within its innovation initiatives, alongside advancements in artificial intelligence and space exploration. The document outlined the primary cryptocurrency goal of a potential Trump administration.
This political framework was established following Trump’s statements at the 2024 Bitcoin Conference in Nashville, where he asserted, “I promise the Bitcoin community that when I take the oath of office, the anti-crypto campaign led by Joe Biden and Kamala Harris will come to an end,” emphatically declaring, “It will cease. It will be finished.”
But can we expect Trump to genuinely deliver on these ambitious promises?
Bitcoin “Made in the USA”
On June 12, Trump expressed on Truth Social his desire for “all remaining Bitcoin to be produced in the USA,” suggesting that this would position the U.S. as “energy dominant.” Currently, 90% of the 21 million Bitcoin supply has already been mined.
Trump’s goal of strengthening the U.S. mining sector and maintaining Bitcoin production domestically may encounter substantial logistical and regulatory hurdles due to the inherently decentralized nature of Bitcoin mining.
Ben Gagnon, CEO of the crypto mining company Bitfarms, shared with Cointelegraph that it is “absolutely feasible and beneficial to make the United States the foremost country for Bitcoin mining.” He added, “If Trump streamlines regulations and boosts support and investment in energy and electricity infrastructure, America will secure its status as the most competitive place for Bitcoin mining globally.”
However, Gagnon acknowledged that no single country can mine all Bitcoin due to its decentralized framework. Thus, Trump’s ambition to mine the remaining Bitcoin contradicts the foundational tenets established by its creator, Satoshi Nakamoto. Centralizing mining operations within one jurisdiction would undermine Bitcoin’s core value: decentralization.
Crypto as a Solution to the $35 Trillion National Debt
The national debt represents the total outstanding borrowing by the U.S. federal government, accumulated over the years. According to Fiscal Data, over the last century, the U.S. federal debt has surged from $394 billion in 1924 to more than $35 trillion in 2024.
This escalating debt presents a significant risk, potentially resulting in dire long-term economic consequences. During an event associated with his non-fungible token collection, Trump remarked, “Crypto has a bright future. I truly believe it does. Perhaps we can settle the $35 trillion debt using crypto.”
Ric Edelman, founder of the Digital Assets Council of Financial Professionals, expressed to Cointelegraph his belief that cryptocurrency could assist in addressing the chronic issue of the U.S. national debt. However, he also expressed doubt about Trump’s ability to establish such a reserve fund, predicting that any such initiative could be dismantled by his successor. Edelman characterized Trump’s assertion as a “catchy soundbite for the campaign trail, but that’s all it amounts to.”
Establishing a Strategic Bitcoin Reserve
In addition to positioning the U.S. as a leader in Bitcoin mining, Trump envisions the creation of a strategic Bitcoin reserve. His plan entails the U.S. government holding all Bitcoin currently in its possession, much of which comes from law enforcement seizures in criminal cases, presenting potential obstacles to his proposal.
Nearly half of the government’s Bitcoin holdings stem from a significant seizure related to the Bitfinex hack. Since these assets belong to affected victims, there is legal pressure to return the funds to Bitfinex or the impacted parties.
In Trump’s favor, Senator Cynthia Lummis has introduced a bill aimed at establishing a Bitcoin strategic reserve. If passed, it would create a Bitcoin fund designed to hedge against national debt, with a goal of acquiring 1 million BTC over five years and holding it for at least two decades.
With congressional support, Trump’s initiative to create a Bitcoin reserve might have a chance of materializing. However, it will necessitate that several lawmakers recognize Bitcoin’s potential.
Firing Gary Gensler “on Day One”
The U.S. Securities and Exchange Commission (SEC) has faced considerable criticism from the cryptocurrency sector for its “regulating by enforcement” approach. Under Chair Gary Gensler, the SEC has initiated multiple cases against major crypto firms for allegedly selling unregistered securities.
The U.S. crypto industry has been advocating for clearer regulations, claiming that existing SEC guidelines remain vague. Observers note that this uncertainty stifles market participation and growth in the U.S. crypto landscape.
One of Trump’s most definitive promises is that he will dismiss Gensler “on day one.” He contends that new leadership would foster a more crypto-friendly regulatory environment, thereby stimulating growth within the U.S. crypto sector. However, can he truly follow through on this?
Removing the SEC chair may not be as straightforward as Trump believes. Although he wouldn’t need Senate approval to fire Gensler, unceremoniously dismissing a prominent regulator could set a problematic precedent and provoke political backlash.
The president is required to dismiss the SEC chair “for cause,” meaning Trump must substantiate the removal based on neglect, inefficiency, or another form of misconduct. Moreover, the entire process of establishing cause, conducting legal reviews, and managing administrative transitions could take over a year. As a result, Trump might have to coexist with Gensler for some time before a new appointee steps in.
Halting the Development of a U.S. CBDC
Trump has pledged to halt any progress on a central bank digital currency (CBDC) by the U.S. Treasury, indicating his resistance to increased government control over digital assets. During the Bitcoin Conference in Nashville, he proclaimed, “There will never be a CBDC while I’m president of the United States,” labeling the technology as an imminent threat to financial privacy.
Trump’s stance aligns with many Republican figures who have publicly opposed CBDCs. Florida Governor Ron DeSantis has even signed a bill to limit their use within the state. Congressman Tom Emmer has proposed the CBDC Anti-Surveillance State Act, which would prevent the Federal Reserve from issuing a CBDC without congressional approval. This bill remains under committee review.
Releasing Silk Road Operator Ross Ulbricht
At the Libertarian National Convention, Trump stated that he would commute the sentence of Ross Ulbricht, the founder of the Silk Road darknet marketplace, which facilitated illegal transactions for drugs, weapons, and other illicit goods, “on day one.”
Ulbricht’s sentence has sparked considerable controversy due to its severity—double life imprisonment plus 40 years without the possibility of parole for nonviolent offenses. Critics argue that his punishment is disproportionate compared to similar cases, raising issues of judicial overreach and the handling of first-time, nonviolent offenders within the criminal justice system.
“We’re going to bring him home,” Trump asserted, arguing that Ulbricht has already served enough time, having spent “11 years” in prison.
Trump has the authority to fulfill this promise swiftly, as a U.S. president can reduce sentences or grant relief from convictions for federal offenses. Commuting Ulbricht’s sentence wouldn’t erase his conviction but would allow for his early release.
Establishing a Crypto Advisory Council for Clear Regulations
The complexities of cryptocurrency pose significant challenges for regulators. Trump mentioned in Nashville that if re-elected, he would form a presidential advisory committee to ensure the development of a robust regulatory framework for crypto.
“We will have regulations, but moving forward, the rules will be crafted by individuals who are passionate about your industry, not those who despise it,” Trump stated. He emphasized that the council’s mission would be to “create transparent regulatory guidance for the benefit of the entire industry, and they will accomplish this within 100 days.”
Pseudonymous crypto market analyst and trader Crypto Rand previously conveyed to Cointelegraph that this promise might be one of the most significant, as he believes Congress and the SEC have consistently shown a lack of understanding regarding the crypto industry and its intricacies.
Ensuring Crypto Self-Custody as a Right
Trump has also vowed to enshrine the right to self-custody for cryptocurrency users, effectively codifying the principle of “not your keys, not your coins” into U.S. federal law.
His commitment to crypto self-custody is supported by legislation proposed by Republican Senator Ted Budd, who introduced the Keep Your Coins Act in the Senate on November 7, 2023. This legislation seeks to prohibit restrictions on Americans’ ability to conduct transactions through self-hosted crypto wallets.
This Republican initiative stands in stark contrast to a measure proposed by Democratic Senator Elizabeth Warren in 2022. Her Digital Asset Anti-Money Laundering Act would mandate that participants in the crypto market identify and monitor users with self-custodial wallets, including service providers, miners, and validators, among others.