| Quick Facts |
| The Web of Conflicts |
| The Insider Trader in Chief |
| Regulatory Capture |
Quick Facts
In February 2025, former US President Donald Trump launched a new cryptocurrency venture, Trump Coin, sparking concerns over potential conflicts of interest and insider trading.
The Trump Tower of Confusion: Exposing the Legal and Ethical Quagmire of Trump’s Crypto Ventures
In February 2025, the crypto world was sent reeling when news broke that former US President Donald Trump had launched a new cryptocurrency venture, Trump Coin. This development sparked immediate concerns among legal experts and regulatory bodies, who questioned the potential conflicts of interest and whether the venture breached insider trading regulations.
As the dust settles, one thing is clear: Trump’s foray into the crypto world raises a multitude of red flags, and it’s up to us to scrutinize the legal and ethical implications of this venture.
The Web of Conflicts
At its core, the issue is straightforward: Trump’s involvement in the crypto space creates a dizzying web of conflicts of interest. As a former President, Trump has access to sensitive information and resources that could be leveraged to benefit his crypto ventures. This creates a clear risk of insider trading, where Trump may use his position to gain an unfair advantage in the crypto market.
But it’s not just the obvious connections that pose a problem. Trump’s crypto ventures also raise concerns about access to government officials and regulators. For instance, Trump’s son-in-law Jared Kushner, who has been accused of pursuing “influence peddling” during his time in the White House, is now working with Trump Coin. Does this mean that Kushner’s relationships with government officials will be used to promote Trump’s crypto interests? The lack of transparency surrounding these connections is deeply troubling.
Furthermore, Trump’s ties to foreign governments and businesses also raise concerns about potential conflicts of interest. In recent years, Trump’s former administration was criticized for its cozy relationships with authoritarian regimes like Saudi Arabia and Russia. Similarly, Trump’s business dealings with foreign companies have raised eyebrows. Now, with his entrance into the crypto space, it’s unclear whether Trump’s connections will compromise the integrity of the market.
The Insider Trader in Chief
The potential for insider trading is another major concern. As a former President, Trump has access to sensitive information that could be used to manipulate the crypto market. For instance, he may have knowledge of upcoming regulations or policy changes that could impact the value of a particular cryptocurrency.
Let’s not forget that Trump has a penchant for using social media to move markets. During his presidency, his tweets would often send markets soaring or plummeting. While he may have claimed it was just “fake news,” the reality is that his online statements carried significant weight. Now, with his crypto ventures, Trump has the potential to use his online presence to manipulate the market to his advantage.
The irony is that Trump has long railed against insider trading, labeling it a “big league” crime. Yet, his own actions and connections raise serious questions about whether he’s taking advantage of his position to line his own pockets.
Regulatory Capture
In the midst of this controversy, regulatory bodies are under pressure to address the issue. The Securities and Exchange Commission (SEC), in particular, is tasked with ensuring that Trump’s crypto ventures comply with existing regulations. However, the organization’s ability to enforce these regulations is hamstrung by the Trump administration’s attempts to gut its funding and staff.
The lack of transparency surrounding Trump’s crypto ventures only adds to the complexity. Even if regulatory bodies are able to scrutinize the venture’s internal workings, there’s little doubt that Trump will employ his best lawyers to shield his activities from public view. This is a classic case of regulatory capture, where a powerful entity (in this case, Trump) wields its influence to undermine the very agencies designed to regulate them.
As we move forward, it’s essential that regulatory bodies crack down on these issues and hold Trump accountable. The public has a right to know whether Trump is using his position to manipulate the market and line his own pockets. Until we have transparency and accountability, it’s impossible to fully trust Trump’s crypto ventures.
The future of crypto is bright, but it must be built on a foundation of trust and transparency. Trump’s ventures represent a serious threat to this vision, and it’s up to us to demand more from our leaders.
