Trump Clan's Crypto Bet: Banking Backlash or Financial Breakthrough?

Eric Trump, in a recent statement to the Wall Street Journal, revealed that the Trump family's support for cryptocurrency came only after former U.S. President Donald Trump took action against traditional banking institutions. This strategic pivot, according to Trump, was a response to the perceived hostility from banks, which he claims were weaponized against him during his presidency. The assertion marks a significant shift in how the Trump family has engaged with the crypto space since the launch of their venture, World Liberty Financial (WLF) [1].

WLF, established in October 2024, is the backbone of the Trump family’s crypto initiative and has rapidly expanded into a major player in the sector. The venture includes a stablecoin called USD1, which is pegged to the U.S. dollar, and a cryptocurrency known as WLFI. The public company holding WLFI was formed through a partnership with a former biotech firm, enabling traditional investors to gain exposure to crypto without using exchanges. This financial architecture has proven to be highly lucrative, with USD1 achieving a market capitalization of $2.2 billion and WLFI generating $550 million in direct sales in March alone. A subsequent $1.5 billion deal with a former biotech company further boosted the project’s valuation to an estimated $20 billion [1].

The Trump family's foray into crypto has not only been marked by financial success but also by a unique blend of traditional and digital culture. Key figures in the project include Eric Trump, Donald Trump Jr., and real estate magnate Steve Witkoff’s son, Zach Witkoff, who serve as the venture’s leaders. The group, which also includes crypto entrepreneurs Chase Herro and Zak Folkman, is described as a mix of business formal attire and crypto leisure wear, highlighting the cultural divide between the Trumps and the crypto-native team. Despite this contrast, the collaboration has led to the creation of new products, such as a crypto lending and borrowing protocol and a decentralized finance (DeFi) app, which are in development [1].

The Trump family’s venture into crypto has drawn scrutiny from ethics experts, who have raised concerns about potential conflicts of interest and the influence of WLF in accessing presidential favor. Eric Trump, however, has dismissed these concerns, asserting that he maintains a clear separation between his business dealings and political relationships. The ethical debate is further complicated by the personal investments of key team members, such as Herro and Folkman, who have tattoos of WLF’s logo, a geometric eagle. These tattoos symbolize their deep commitment to the project and the alignment of their personal brand with the company [1].

Internationally, the rise of U.S. stablecoin regulations has also sparked interest in the digital currency landscape. The recent passage of the GENIUS Act in the U.S. has pushed European policymakers to reconsider their approach to a digital euro, as concerns grow over the dominance of dollar-backed stablecoins in global payments. The European Union is now exploring the possibility of launching a digital euro on public blockchains, a shift from the previously envisioned private infrastructure. This development underscores the competitive pressure facing European and Chinese digital currency initiatives as the global financial system evolves [2].

Source: [1] Meet Trump's inner crypto circle: Eric, Don Jr.—and a lot of ... (https://fortune.com/crypto/2025/08/21/world-liberty-financial-trump-tower-zak-folkman-chase-herro/) [2] U.S. Stablecoin Law Jolts EU Into Rethinking Digital Euro Strategy (https://www.coindesk.com/policy/2025/08/22/u-s-stablecoin-law-jolts-eu-into-rethinking-digital-euro-strategy-ft)