- Trump’s $Trump meme coin and crypto-friendly policies raise conflict of interest concerns.
- Key regulatory appointments signal a push to make the U.S. a global crypto hub.
- Watchdogs warn that loose regulations could enable financial misuse and reduce transparency.
The recent launch of the $Trump meme coin and key government appointments favoring crypto interest have drawn scrutiny from ethics watchdogs. As US President Donald Trump embraces cryptocurrency, his administration's latest moves have sparked debates on ethics and regulatory oversight.
With the recent appointment of Paul Atkins, the chair of Securities and Exchange Commission (SEC), there is a clear indication of a strategic shift to position the US as a leading cryptocurrency hub, turning the country into the "crypto capital of the planet".
The crypto sector has significantly backed Trump's campaign, which has only stirred more potential conflicts of interest.
“America voted for corruption, and Trump is wasting no time delivering it,” said Walter Shaub, the former director of the US Office of Government Ethics, who served under former presidents Barack Obama and Trump.
“What was once a government ethics program, made partly of laws and partly of norms, is a smoldering crater.”
This pursuit to create a transformation will end any enforcements set up by Biden's office, thus leading to a more liberal approach to the regulation of digital currencies.
The volatile nature of the crypto market led to the surge of $Trump and $Melania over the weekend only to have it fade during his inaugural ceremonies. But together, their market values remained above $9 billion.
The billionaire businessman Mark Cuban, who campaigned for Kamala Harris ahead of last year’s presidential election, described Trump’s coin as a “gift to all of us who are not fans of his”.
“It’s just a matter of time until a lot of people lose money from this,” Cuban wrote on Bluesky, the social network. “I’m a crypto fan. This is not crypto any more than [infamous fraudster Bernie] Madoff was just buying and selling shares of stock.”
— Red One 🪶🦬🪃🍉 (@Red___One__) January 21, 2025
The prospect of a returning president boosting his wealth through an industry he has vowed to promote while in office has also raised significant concerns among former government officials.
Edited by Harshajit Sarmah
