Sunday, the announcement of President Trump, which he plans to establish a cryptocurrency federal reserve sent digital asset markets. However, he also rekindled concerns about conflicts of potential interests, which implies David Sacks, the venture capital which is Trump’s crypto and the Tsar of artificial intelligence.
The president said on Sunday that a future American crypto reserve will hold tokens, notably XRP, Sol, ADA, ETH and BTC. ADA climbed 60% in the minutes following the announcement, and all the other tokens listed have experienced two -digit price bumps.
The market response immediately drawn attention to the range of ways in which Trump and his inner circle could benefit from his cryptographic policies.
Among the most obvious potential beneficiaries, there were bags, including the venture capital company, Craft Ventures, is Invested in the Bit sense– A crypto index fund manager with holdings in all digital tokens appointed in Trump’s declaration and other cryptographic startups. In the past, bags have also revealed personal investments in some of the tokens listed by the president.
After Sunday’s announcement, Sacks said on X: “I sold all my cryptocurrencies (including BTC, ETH and Sol) before the administration start.” In response to a community note on X on Craft Ventures investment in Bitwise, Sacks added: “I had a position of $ 74,000 in the Bitwise ETF, which I sold on January 22. I have no “indirect holdings”.
It is not clear if Sacks retains a direct participation in Bitwise via Craft Ventures, where he remains a partner. Sacks conducted the investment in Craft Ventures seeds in 2017 in Bitwise, and the venture capital company still lists Bitwise in its portfolio.
A representative of Craft Ventures refused to share anything beyond the X Sacks posts. The company declared Sunday to the Financial Times that he still had participations in certain cryptocurrency companies.
Operates a series of funds negotiated on the stock market (ETF), including a “10 Crypto Index Fund”, which contains all the tokens planned for the Trump reserve. The company also submitted requests to operate FNB for XRP and Sol, among other tokens. If these requests are approved, Bitwise would benefit from increased interest in assets if they are included in an American cryptography reserve.
Bitwise did not respond to a request for comments.
Sacks will organize a first summit of cryptocurrency of the White House in its kind on Friday, during which more details on the administration’s plans for industry should emerge.
Trump worked hard in the past year for the court supporters in the cryptocurrency industry-one of the largest business donor groups in the 2024 elections. Although the president’s anti-regulator posture was greeted by some in industry, even some of his pro-Crypto supporters have started to fear that highlighting particularly volatile assets (ADA) XRP (XRP) may delegitimize the sector.
The president’s own cryptocurrency companies have added to concerns about conflicts of potential interests.
In January, Trump launched a piece of memes, Trump, on the Blockchain Solana – the network behind the ground token. Meanwhile, World Liberty Financial (WLFI) – A decentralized financial company supported by the president and his sons – built his own treasure of cryptographic assets. The treasure includes some of the same tokens listed for inclusion in the Federal Cryptography Reserve, which means that any price increase could conspicuously benefit Trump directly.
