When President Trump took office for his second term, he made a bold promise to turn the United States into the “crypto capital of the world.” With grand ambitions to be at the forefront of digital assets like Bitcoin, the Trump administration quickly signed an executive order aimed at pushing the United States to the forefront of crypto innovation.
But just one year later, the crypto landscape is far from the president’s vision of dominance.
summary
- Spot Bitcoin ETF investors in the US are suffering losses of 8-9%, reflecting the broader downturn in the crypto market.
- Despite his pledge to make the United States the “crypto capital of the world” and his efforts to appoint a “crypto czar,” there has been limited progress in regulating Bitcoin during President Trump’s second term.
- While the market has crashed, Trump’s own cryptocurrency holdings are between $867 million and $1 billion.
Bitcoin’s recent fall to its lowest level since April 2025 calls into question the lofty ambitions of the Trump administration’s crypto policy.
As of February 2, Bitcoin has fallen below $75,000, continuing its steady decline from its 2025 peak, with the average U.S. spot Bitcoin ETF investor suffering new losses and currently sitting at 8-9%. Although capital inflows are still expected in early 2024, new investments have fallen into the red, reflecting a broader downturn in the crypto market as a whole.
A combination of evaporating liquidity, slowing capital inflows, and Bitcoin’s failure to react to typical market factors such as a weak dollar and geopolitical risks have sent the leading cryptocurrency losing direction. Analyst Ash Crypto said the market’s struggles reflected a broader decline in stocks and commodities globally, wiping out a staggering $700 billion in crypto market capitalization in just two weeks.
breaking news:
In just two weeks, $700 million disappeared from the cryptocurrency market.
2026 turns out to be even worse than 2025. pic.twitter.com/GnsAkHF2GX
— Ash Crypto (@AshCrypto) February 2, 2026
President Trump’s cryptocurrency pledge: Where is the leadership?
When Trump championed cryptocurrencies as engines of economic growth, he envisioned the United States leading the way. Not only did he promise a strategic Bitcoin reserve and digital asset stockpile, he also appointed David Sachs as the “crypto czar” to lead regulation.
However, aside from the passage of the GENIUS Act, which focuses on payments stablecoins, actual progress on regulating Bitcoin and altcoins has been scant. The recent market downturn has raised questions about whether President Trump’s bold cryptocurrency vision will ever come true.
Meanwhile, Trump himself has made millions in the cryptocurrency space, with profits estimated at between $867 million and $1 billion, making it his most lucrative investment. But a market crash could expose the instability of the very assets that once underpinned President Trump’s personal finance boom, leaving the public to question whether the promise of “crypto capital” was ever achievable.
