A ‘Disaster’ Hurting the Dollar? What to Know About the Latest Trump Crypto Callout

Former President Donald Trump is no stranger to strong opinions regarding his country’s economy. Recently, though, he doubled down on his attacks against cryptocurrency, calling it “fake” and accusing it of “hurting the U.S. dollar.”

Photo of Donald Trump standing at a podium with the American flag in the background

Source: Andrew Cline / Shutterstock.com

What Happened With the Latest Trump Crypto News?

In a recent interview with Stuart Varney of Fox Business, Trump was asked for his take on cryptocurrency, specifically if he had ever had any direct dealings in it.

“I like the currency of the United States,” Trump replied. “I think the others are potentially a disaster waiting to happen. … I feel that it hurts the United States currency, we should be invested in our currency. … They may be fake, who knows what they are? They certainly are something that people don’t know very much about.”

This is not the first time Trump has taken a stand against cryptos. On June 8, 2021, he told another Fox Business interviewer that he considered Bitcoin (CCC:BTC-USD) to be “a scam,” adding that he did not like BTC because it was “another currency competing against the dollar.”

Why It Matters

Trump’s take on cryptocurrency is hardly surprising. He spent much of his presidency employing an “America First” agenda that focused on pushing the U.S.’s interest above those of every other nation.

It is possible that his recent attack may be prompted by the fact that President Joe Biden and his administration have taken a different stance on cryptocurrency, one that pushes for regulation for the sake of helping large trading platforms survive. Biden’s appointment to chair the Securities and Exchange Commission, Gary Gensler, has noted that such platforms would be well advised to “embrace regulation or risk losing public trust.”

Additionally, it is worth noting that despite his alleged resentment of crypto, Trump has done nothing to stop the development of Magacoin, the crypto created by some of his followers.

What Comes Next for Cryptocurrencies

As of now, it is unlikely that Trump’s statements will cause any real disruption in crypto markets. Other leading economic thinkers, such as Bill Gates and Charlie Munger, have come out against crypto. However, few have had an actual effect on investors.

Additionally, Trump’s lack of access to Twitter means that his messages will reach even fewer audiences, thereby likely diminishing any potential impact for investors.

On the date of publication, Samuel O’Brient did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.


Article printed from InvestorPlace Media, https://investorplace.com/2021/09/a-disaster-hurting-the-dollar-what-to-know-about-the-latest-trump-crypto-callout/.

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