Donald Trump’s media company, Trump Media, is in discussions to acquire Bakkt, a crypto exchange, leading to a sharp rise in the company’s stock price. Meanwhile, Trump is also engaging in talks with Coinbase CEO Brian Armstrong regarding key pro-crypto appointments for his upcoming administration.
Trump’s potential acquisition of Bakkt has attracted attention, especially since the exchange’s stock has surged following these discussions. Although Bakkt once held a prominent position in the cryptocurrency industry, its influence had declined in recent years, and the company had even considered selling or splitting up. However, with Trump Media exploring the acquisition, Bakkt's stock has seen a dramatic spike. Trump has long been an advocate for crypto-friendly policies, and a purchase of Bakkt could mark a renewed focus on the digital asset space, especially as his presidential term continues to influence policy discussions.
Beyond the Bakkt deal, Trump and Armstrong are reportedly discussing potential appointments for key positions in the U.S. government. Armstrong, who has long been an advocate for pro-crypto policies, has expressed strong support for certain figures to take up prominent roles. One key figure he has suggested is SEC Commissioner Hester Peirce, widely known in the crypto community as “Crypto Mom.” Armstrong has praised Peirce for her intelligence, fairness, and ability to work across political divides, making her a strong contender for the role of SEC Chair, especially with the likely removal of Gary Gensler.
Hester Peirce is one of the five sitting commissioners at the SEC, with two of them having been appointed by Trump. If Armstrong's suggestions are taken seriously, the discussions could significantly influence Peirce’s chances of becoming the next head of the SEC. The position has become more important as crypto markets anticipate changes in the regulatory environment under a potential new SEC leadership.
Throughout the election cycle, Coinbase had invested heavily in supporting pro-crypto candidates, including those who aligned with Trump’s vision of more crypto-friendly regulations. Since Trump's election, Armstrong has been vocal about the need for a regulatory framework that fosters innovation while balancing investor protection. His remarks regarding Peirce as a potential SEC Chair come at a time when speculation about Gensler's future is high. Armstrong’s backing could play a crucial role in shaping the regulatory landscape for cryptocurrencies in the United States.
Trump's growing influence in the crypto space through his media company and policy discussions with Armstrong signals a shift toward more crypto-friendly government policies. The talks about acquiring Bakkt and the potential appointment of Hester Peirce could mark a turning point in how the U.S. approaches digital currencies, with more emphasis on fostering innovation rather than imposing restrictive regulations. As both a businessman and a former president, Trump’s moves could bridge the gap between the government and the crypto industry, creating opportunities for further growth in the sector.
In summary, Trump Media’s discussions to acquire Bakkt and Trump’s talks with Brian Armstrong about crypto-friendly appointments point to a rising pro-crypto sentiment in the U.S. The backing of figures like Hester Peirce for SEC leadership shows a shift toward a regulatory environment that might be more conducive to the growth of cryptocurrencies. With Bakkt’s stock price rising and key political figures advocating for change, the future of the cryptocurrency market looks poised for a more favorable regulatory climate.
