Donald Trump has officially been inaugurated, making him the 60th president of the U.S. after his November election victory. During his inaugural address, Trump omitted any mention of cryptocurrency, including Bitcoin, which surprised market participants and fueled uncertainty. The crypto industry has seen many notable occurrences from the key players and reforms, including the pardon of the founder of the Silk Road.
BTC Price Reaction: Is This the Trump Effect?
Despite previous campaign rhetoric endorsing digital assets, his speech focused on economic growth, national security, and technological innovation without referencing cryptocurrency policies. The absence of clarity led to market volatility, with Bitcoin’s price dropping to $101,000 after an initial climb.
Following the speech, Bitcoin’s price fell approximately 4%, reflecting investors’ concerns about the administration’s stance on digital assets. Market participants expected regulatory updates but were left speculating about potential directions.
Expectations from Trump’s Administration
After the failed mention, analysts still believe these broader goals could indirectly support technological advancements, including blockchain adoption. David Bailey, CEO of Bitcoin Magazine, shared insights on X, stating that executive orders related to Bitcoin might be among Trump’s early policy actions.
Bailey mentioned having confirmation but did not specify details. Binance’s founder, Changpeng Zhao (CZ), also commented, urging patience while awaiting actionable developments.
Armstrong’s Views on Trump’s Crypto Impact
Brian Armstrong, CEO of Coinbase, expressed confidence in the future of cryptocurrency during a panel at the World Economic Forum in Davos. Speaking on recent developments, Armstrong highlighted Bitcoin’s all-time high (ATH) value achieved hours before his remarks. He attributed the surge to renewed optimism in the market following Donald Trump’s inauguration.
Armstrong stated that the Trump Administration’s policies could significantly influence the cryptocurrency sector. He mentioned Donald Trump’s public declaration of wanting to become the “first crypto president” as a key indicator of potential support for digital assets. According to Armstrong, having the leader of the world’s largest economy show interest in cryptocurrency could pave the way for substantial investments and advancements in the sector.
During his remarks, Armstrong underscored the importance of legislation in fostering growth in the crypto industry. He noted that Congressional actions under Trump’s leadership could bring about increased investments in cryptocurrencies. Armstrong’s comments emphasized the need for clear regulations to solidify the industry’s foundation.
Ripple CEO Engages in Blockchain Advocacy During Inauguration
Brad Garlinghouse, Ripple’s CEO, participated in multiple events in Washington, DC, during Donald Trump’s presidential inauguration. These engagements included the Crypto Ball, a dinner hosted by Vice President JD Vance, and gatherings at the Capitol. Through these appearances, Garlinghouse emphasized the growing momentum for blockchain technology in addressing economic challenges in the United States and globally.
During the inauguration festivities, Garlinghouse used his platform to advocate for blockchain’s role in fostering economic innovation. He shared updates on X, highlighting Ripple’s continued commitment to advancing blockchain adoption.
Still riding high from all the Inauguration events in DC this weekend!
From the Crypto Ball, to the VP dinner, to the POTUS dinner, to sitting in the Capitol yesterday – there’s palpable excitement for all the good that’s possible leveraging crypto and blockchain… here in the… pic.twitter.com/VzIVoYuo7v
— Brad Garlinghouse (@bgarlinghouse) January 21, 2025
In a post featuring Vice President JD Vance, he celebrated collaboration between the political and blockchain sectors. His participation underscored Ripple’s efforts to integrate blockchain into mainstream financial systems.
US Banks Eyeing Crypto Payments Under Trump
As Donald Trump begins his second term as President, discussions on integrating crypto payments into US banking intensify. Bank of America CEO Brian Moynihan emphasized the potential of crypto payments in the banking sector if regulatory frameworks are clarified.
In an interview with CNBC, Moynihan stated that cryptocurrencies could become a standard payment method alongside Visa, Mastercard, and Apple Pay. He revealed that Bank of America already holds numerous blockchain patents and is prepared to enter the crypto payment space once regulations allow.
Moynihan highlighted that clear rules are essential for enabling banks to embrace cryptocurrency transactions. He asserted that with appropriate guidelines, the banking industry could actively participate in transactional services involving crypto. However, Moynihan avoided addressing cryptocurrencies as a store of value, calling it a separate issue.
Circle CEO Jeremy Allaire recently commented on the Trump administration’s potential executive orders, which may permit banks to trade cryptocurrencies. Such reforms could dismantle restrictions like Operation Chokepoint 2.0, enabling broader crypto adoption in financial institutions.
Cynthia Lummis Advocates for BTC’s Role in the U.S. Financial System
U.S. Senator Cynthia Lummis has reaffirmed her commitment to integrating Bitcoin into America’s financial infrastructure. Following a discussion with David Bailey, a cryptocurrency advocate, Lummis shared her vision for making the U.S. a leader in blockchain and digital assets. She emphasized her goal to drive clear and effective crypto regulations to enhance Bitcoin’s influence on global finance through her X account.
So great to meet with David Bailey. The future for Bitcoin and digital assets in America has never been brighter. pic.twitter.com/m2apTVpFVO
— Senator Cynthia Lummis (@SenLummis) January 21, 2025
Lummis is focused on advancing legislation to solidify the U.S.’s position as a global leader in blockchain technology. Her recent comments highlighted ongoing efforts to counter regulatory hurdles, including alleged actions under Operation Choke Point 2.0, which reportedly limited crypto firms’ banking access.
Ripple CEO Brad Garlinghouse also supported Lummis’ advocacy, highlighting blockchain’s potential to create an inclusive financial system during recent inauguration discussions.
Trump Pardons Silk Road Founder Ross Ulbricht Amid Controversy
On Tuesday, President Donald Trump signed an executive order granting clemency to Ross Ulbricht, founder of Silk Road. The pardon, announced via Trump’s social media platform Truth Social, marks the culmination of promises made during his campaign. Ulbricht, convicted in 2015, was serving a double life sentence for his role in operating the dark web marketplace.
Trump criticized the legal process leading to Ulbricht’s sentence, calling it excessive for non-violent crimes. He disclosed that he informed Ulbricht’s mother of the decision during his first day back in office. The clemency decision has reignited debates about justice reform, particularly concerning sentences for non-violent offenses.
This pardon is part of Trump’s wider clemency actions, which include commutations for January
While Trump’s initial executive orders excluded crypto policies, the market awaits further developments to determine the administration’s direction. The absence of cryptocurrency discussions in Trump’s inaugural speech has left the market in suspense. As industry leaders remain optimistic about potential executive orders, the crypto community awaits concrete actions to align campaign rhetoric with policy implementation.
