By Tom Wilson
(Reuters) – Cryptocurrency advocates and holders will soon influence U.S. policy on the emerging technology after a series of nominations and appointments of advisors by President-elect Donald Trump, who takes office on Monday.
The crypto industry has spent years fighting lawsuits and coercive actions by the US government. It hopes the incoming Trump administration will mark a policy change.
Political appointments will be scrutinized for potential conflicts. Some have agreed to sell their interests.
The industry will host a sold-out black-tie ball in Washington on Friday, with tickets ranging from $2,500 to $10,000. David Sacks, Trump’s cryptocurrency and artificial intelligence czar, is scheduled to attend.
Below are some insights into the crypto positions of key members of the incoming administration and Trump’s inner circle.
SCOTT BESSENT
A billionaire hedge fund manager, Trump’s pick to be Treasury Secretary, has spoken favorably about cryptocurrencies.
“Cryptocurrencies are about freedom and the crypto economy is here to stay,” he told Fox News in July. “I think everything is on the table with bitcoin.”
According to a financial disclosure filed last month, Bessent owns shares in a BlackRock (NYSE 🙂) bitcoin exchange-traded fund worth between $250,001 and $500,000. Bessent will divest his interests in the fund and other investments within 90 days following his confirmation, he wrote to the US Treasury last week.
Bessent did not respond to a request for comment.
HOWARD LUTNICK
Trump’s pick for Secretary of Commerce is a strong supporter of bitcoin.
Lutnick is CEO of the New York brokerage firm Cantor Fitzgerald, which earns fees for managing billions of dollars in U.S. Treasury bonds for , the company that issues the stablecoin of the same name.
“Do I own bitcoin? Of course I do,” Lutnick said at the 2024 conference in July. “Does Cantor Fitzgerald own bitcoins? A lot of bitcoins”.
Lutnick did not respond to a request for comment.
ELON MUSK
The head of Tesla (NASDAQ 🙂 and the richest man in the world, chosen by Trump to oversee a government cost-cutting effort, the so-called Department of Government Efficiency, has long defended cryptocurrencies, including bitcoin and dogecoin.
His public comments and the actions of his companies have in recent years influenced the price of bitcoin and dogecoin, a smaller token conceived as a joke during a previous crypto bubble.
The acronym for Musk’s cost-cutting agency, DOGE, is a nod to dogecoin, which is now the world’s seventh-largest crypto token based on its circulation of $4.5 billion, according to data provider CoinGecko.
In 2021, Tesla purchased $1.5 billion worth of bitcoin, becoming one of the largest companies to own cryptocurrency before selling the majority of its holdings. It had unspecified digital assets totaling $184 million as of September 2024, a company financial report showed.
Musk did not respond to a request for comment sent through Tesla about what crypto assets he might have.
VIVEK RAMASWAMY
The former presidential candidate and businessman, who will work with Musk on DOGE, is the founder of Strive Asset Management.
Strive, which said in September it managed more than $1 billion in assets, last month unveiled the launch of an exchange-traded fund that invests in corporate bonds for bitcoin investments.
The company’s wealth management arm, launched in November, seeks to integrate bitcoin into Americans’ investment portfolios, Ramaswamy said in a press release.
As of June 2023, Ramaswamy had between $100,001 and $250,000 worth of bitcoin and between $15,001 and $50,000 worth of the smaller ether token, according to a financial disclosure.
He did not respond to a request for comment.
DAVID SACKS
Sacks, a former PayPal (NASDAQ 🙂) executive, was named White House artificial intelligence and cryptocurrency czar in December, tasked with developing a US legal framework long sought by the cryptocurrency industry.
Sacks is co-founder of the venture capital firm Craft Ventures. The company has invested in crypto companies including BitGo and Bitwise, its website shows.
Sacks did not respond to requests for comment.
STEVE WITKOFF
Trump’s Middle East envoy Steve Witkoff, a real estate magnate and donor to the incoming president, founded the crypto firm World Liberty Financial in November.
World Liberty, which sells a proprietary token, lists Trump on its website as among those entitled to a large portion of the company’s revenue.
Witkoff did not respond to requests for comment.
ERIC TRUMP, DONALD TRUMP JR., BARRON TRUMP
Eric Trump told Reuters last year that he was heavily involved in World Liberty, which he, his older brother Don Jr. – considered the most influential member of the family in the presidential transition – and his younger half-brother Barron helped form.
Eric said at a bitcoin conference in December that the technology was a “financial revolution” and that his father would make the United States the cryptocurrency capital of the world.
JD (NASDAQ:) VANCE
US Vice President-elect Vance had between $250,001 and $500,000 worth of bitcoin in August 2024, according to a financial disclosure.
The venture capital firm Vance co-founded, Narya, has made investments in Ramaswamy’s asset management company Strive and the video platform Rumble, its website shows.
In November, Rumble said it would allocate its excess cash reserves to bitcoin. The company also received a $775 million investment from stablecoin firm Tether last year.
When asked for comment on the crypto stances of Vance and Trump’s children, Trump-Vance transition spokesman Brian Hughes said – without providing evidence – that bureaucrats in Washington had tried to stifle innovation with more regulation and higher taxes.
“President Trump will deliver on his promise to encourage American leadership in cryptocurrencies and other emerging technologies,” he said in a statement to Reuters.
PAUL ATKINS
Atkins, a lawyer and former top SEC official, is Trump’s pick to lead the Securities and Exchange Commission and has advocated for deregulation. He is expected to take a softer approach to cryptocurrencies than current president Gary Gensler.
Atkins is CEO of Patomak Global Partners (NYSE:), a consultancy. Patomak advises “cutting-edge crypto-native companies” and traditional financial firms on how to “leverage digital assets for growth,” its website says.
Atkins did not respond to a request for comment.