Why Trump Changed His Mind on Making U.S. “Crypto Capital of the Planet”

Former President Donald Trump told his 90 million X followers on August 29, the former president promoted his new crypto platform, World Liberty Financial, and promised to make the United States the “crypto capital of the planet.”

“This afternoon, I’m laying out my plan to ensure that the United States will be the crypto capital of the planet,” Trump said in a video.

“They want to choke you. They want to choke you out of business. We’re not going to let that happen.”

Ahead of the official announcement, Trump has faced questions about his changing opinions on blockchain technology and cryptocurrency. In recent years, the former president has embraced some forms of blockchain technology, including NFT images. The former president recently announced a new range of digital NFT Trump trading cards, which are based on the same technology used by cryptocurrency.  

No details about the World Liberty Financial platform have yet to be released. The digital bank is operated by the former president’s sons, Donald Trump Jr. and Eric Trump. In an interview on Locals, Donald Trump Jr. suggested that the platform would aim to compete with traditional banks.

What Changed?

Former President Donald Trump is on the record as having said that cryptocurrencies are a “scam.” In June 2021, Trump told Fox Business that he didn’t believe Bitcoin should compete with the U.S. dollar and that the U.S. currency should remain the primary currency globally. In 2019, Trump also said thast he was “not a fan” of cryptocurrencies in general, slamming them as “highly volatile.” Trump called for strict regulation of cryptocurrency during his first term in office, but his second term – should he win one – will likely be remarkably different.

So, what changed? Well, everything. The U.S. dollar is already slowly being replaced, the U.S. economy is now directly competing with BRICS, and China is investing heavily in cryptocurrency. In 2024, crypto means something different to the United States and to Donald Trump.

While China technically banned cryptocurrency mining and trading in 2017, its communist government continues to invest in blockchain technology in multiple ways. The Digital Yuan (e-CNY) is a state-controlled digital currency that technically competes, or will compete, with Bitcoin on the global stage. China plans to use the Digital Yuan as a way of maintaining full control of its financial system while also embracing modern technology. Former President Trump, knowing that China is investing heavily in its own system, likely recognizes that the United States must either invest in its own cryptocurrencies or fall behind.

The former president has also earned the endorsements of Robert F. Kennedy Jr. and X CEO Elon Musk this year, both of whom are staunch defenders of cryptocurrency technology. With Trump’s new efforts to form a “unity government” with the backing of Kennedy and former Democratic presidential contender Tulsi Gabbard, the embrace of cryptocurrency could be just the beginning of some radical pivoting for the Trump campaign over the next two months.