On July 29, the editorial team at the Wall Street Journal published an opinion piece that criticized former President Donald Trump’s position on Bitcoin.

The Journal’s analysis begins with Trump’s appearance at a Bitcoin event in Nashville, where he made bold claims about transforming the United States into a global cryptocurrency hub. The editorial suggests that this move by Trump may have been partly motivated by a desire to attract financial support for his campaign.

As CryptoGlobe reported, on July 27, Trump gave a highly-anticipated speech at the Bitcoin 2024 conference in Nashville, United States.

These were the key highlights from his pro-crypto speech:

  • He said there’s never been anything like Bitcoin.
  • He said Bitcoin is not just a marvel of technology but a miracle of cooperation and human achievement.
  • He claimed that Bitcoin will one day probably surpass the market cap of gold.
  • He said he intends every bitcoin to be mined in the U.S., thereby making the U.S. the Bitcoin superpower of the world.
  • He defended the right to self-custody of cryptoassets.
  • He pledged to fire the current U.S. SEC Chair, Gary Gensler, on day one of his presidency (assuming, of course, he wins the U.S. presidential election in November 2024) and to appoint a new SEC Chair.
  • He promised that future crypto regulations will come from people who want the crypto industry to thrive.
  • He mentioned that he wants to create a regulatory framework for dollar-backed stablecoins, thereby making the US dollar even stronger.
  • He stated that Bitcoin is not threatening the dollar, but the behaviour of the current US government is threatening the dollar.
  • He promised that crypto would skyrocket.
  • He said the U.S. government is one of the largest holders of Bitcoin.
  • He promised to hold on to 100% of all the bitcoins the U.S. government currently has and any that it obtains in the future.

In their opinion piece, the WSJ acknowledges that Trump’s criticisms of the current administration’s approach to cryptocurrency regulation have some merit. The Journal points out that Trump specifically targeted the actions of Gary Gensler, the current SEC Chair, characterizing them as often unjust towards the crypto industry.

However, the crux of the WSJ’s argument lies in what they perceive as inconsistencies in Trump’s cryptocurrency policy. The editorial team notes that while Trump now portrays Bitcoin as a symbol of independence from governmental control, his proposed policies seem to contradict this stance by suggesting increased government involvement in the cryptocurrency sector.

To illustrate this point, the Journal cites Trump’s proposal for domestic Bitcoin mining and the creation of a national Bitcoin reserve. The WSJ draws parallels between this idea and a similar proposal from a Republican senator, highlighting the potential risks associated with such government intervention in the cryptocurrency market.

The editorial expresses skepticism about the wisdom of a government-held Bitcoin reserve, with the WSJ raising concerns about potential misuse and the inherent volatility of cryptocurrency prices. The Journal argues that true cryptocurrency independence would necessitate freedom from government intervention, not increased governmental involvement.

In their conclusion, the WSJ’s editorial team suggests that Trump’s cryptocurrency policy reflects broader contradictions within his political platform. The Journal proposes that a more consistent approach for Trump might involve advocating for reduced government intervention across all sectors, including the cryptocurrency industry.