Trump’s Cryptocurrency Ventures Raise Ethical Concerns Amid Market Turmoil

US President Donald Trump‘s venture into the cryptocurrency space is under scrutiny following the sharp decline of his meme coin, $TRUMP, which fell approximately 8% in a matter of minutes in late September 2025. This decline wiped millions off its market value and has sparked concerns about potential conflicts of interest stemming from his involvement in crypto. Users are able to trade this digital currency, inspired by internet memes, on the open market, raising questions about the intersection of Trump’s political role and private profit.

Just before his second inauguration, Trump announced on social media platform X that his “NEW Official Trump Meme” was available, accompanied by a graphic depicting him alongside the phrase “FIGHT, FIGHT, FIGHT,” which many interpreted as a reference to his previous assassination attempt. Following this announcement, $MELANIA, a coin named after First Lady Melania Trump, also experienced a downturn in the market. Critics argue that Trump’s activities in the cryptocurrency realm create an ethical dilemma, blurring the lines between his public office and private financial interests.

The potential for personal gain from these cryptocurrencies is not clearly defined. According to the website gettrumpmemes.com, while the product is endorsed by Trump, it claims to have “nothing to do with any political campaign.” The Trump Organization and Fight Fight Fight LLC reportedly own 80% of these meme coins. Elizabeth Warren, a Democratic senator, has expressed concerns that Trump might exploit the presidency to enhance his family’s wealth. Norman Eisen, former ethics adviser to President Barack Obama, characterized Trump’s crypto dealings as potentially “the single worst conflict of interest in the modern history of the presidency.”

A recent inquiry by the New York Times stated that Trump’s burgeoning crypto empire challenges long-standing presidential norms, erasing the historical boundaries between private enterprise and government policy. In response to these allegations, Anna Kelly, assistant press secretary, stated that Trump’s assets are held in a trust managed by his children, asserting that there is no conflict of interest.

In May 2025, Jeff Merkeley, a Democratic senator from Oregon, introduced the “End Crypto Corruption Act 2025.” This proposed legislation aims to prohibit the president and senior officials from “issuing, endorsing, or sponsoring crypto assets.” With primarily Democratic support, the bill faces significant hurdles in the Republican-controlled House and Senate.

Family Involvement in Cryptocurrency

Trump’s foray into cryptocurrency is not solely his undertaking; it involves his family as well. His sons, Donald Trump Jr., Eric Trump, and Barron Trump, established World Liberty Financial (WLFI) in September 2024, shortly before Trump was inaugurated for a second term. Initially listed as its “chief crypto advocate,” Trump’s title on the WLFI website has since changed to “co-founder emeritus” following his assumption of office. The team also includes Trump’s chief Middle East envoy, Steven Witkoff, and his son, Zach.

According to the Trump family, WLFI was designed to initiate a “financial revolution” aimed at making cryptocurrency more accessible. Critics, however, caution that this represents an opportunity for Trump to financially benefit due to his involvement with the firm. WLFI’s token began trading in September 2025, reaching a peak value of around $0.40, which significantly increased the Trump family’s wealth. Additionally, Eric Trump has launched American Bitcoin, a firm focused on mining and acquiring bitcoin, with initial estimates valuing the Trump sons’ stake at approximately $1.5 billion.

Trump’s history with cryptocurrency is noteworthy. Previously skeptical, he once stated he was “not a fan” of bitcoin. Yet, shortly before retaking office, he proclaimed his intention to position the US as “the crypto capital of the planet.” His interest became evident when he addressed a crowd at a bitcoin conference in Nashville, Tennessee, in July 2024, becoming the first major presidential candidate to do so.

As president, Trump plays a pivotal role in setting and enforcing cryptocurrency policy—a domain where his family’s businesses are now active. Reports suggest that the Trump family’s wealth in cryptocurrency has exceeded $5 billion, surpassing even Trump’s considerable real estate portfolio.

Concerns Over Presidential Ethics

The emoluments clauses established in the US Constitution to prevent corruption among presidents are now viewed by some as needing revision. A recent incident involved Freight Technologies (Fr8Tech), a Nasdaq-listed firm in Mexico, announcing plans to invest up to $20 million in $TRUMP meme coins. Fr8Tech CEO Javier Selgas described the deal as beneficial both economically and politically, suggesting that purchasing Trump’s meme coin could influence favorable trade policies between Mexico and the US.

Further scrutiny arose when Trump hosted a black-tie dinner for major $TRUMP coin holders at his Virginia club, raising additional ethical questions.

Trump’s administration has adopted a pro-cryptocurrency stance. In March 2025, he signed an Executive Order to establish a national bitcoin strategic reserve, framing it as a symbol of US supremacy in the digital asset landscape. His appointed crypto czar, David Sacks, has been instrumental in advocating for regulatory reforms favorable to cryptocurrencies. The US Securities and Exchange Commission has shifted its approach under Trump, easing restrictions that were previously enforced during President Joe Biden‘s administration.

While the Trump family continues to benefit from its investments in cryptocurrency, the upcoming 2026 midterm elections could shift the political landscape. Should Democrats gain control of the House of Representatives, they may scrutinize the president’s crypto activities and highlight potential conflicts of interest that arise from his dual roles as a public servant and private businessman.

This article is republished from The Conversation under a Creative Commons license.