Trump’s failed Truth Social company (DJT) brought in a little bit more than 2 million dollars this year and lost about 20 million but is nonetheless valued at over $7 billion. With a B. It’s has nothing to do with the company and everything to do with Trump in whom people apparently want to invest their money. Now DJT wantsto buy a crypto exchange. Why???
Here’s a bit of an explainer from JV Last:
Crypto exchanges exist in a murky regulatory space. Some cryptocurrencies are considered by the government to be securities, and as such they fall under the jurisdiction of the SEC. Markets that function as clearinghouses for such crypto securities are similarly subject to SEC regs.
If a crypto exchange could guarantee that it would not be investigated by the SEC or become subject to any new SEC regulations, that would be a valuable asset.
Raise your hand if you think there is any chance—any chance at all—that under President Trump the SEC would dare to so much as look in the direction of a crypto exchange owned by DJT.
As it turns out this exchange is currently owned by a company called Bakkt a subsidiary of Intercontinental Exchange (ICE) and Bakkt is also unprifitable. But it has a Trumpy pedigree . According to the Financial Times:
Bakkt’s first chief executive was Kelly Loeffler, a former head of marketing at ICE and a Republican ex-senator for Georgia during Trump’s first presidency. She is co-chair of the committee organising his inauguration in January. She is also married to Jeff Sprecher, ICE’s founder, chair and chief executive.
Loeffler’s husband is the majority ownber of Bakkt.
Here’s Last:
Trump is looking to buy a moribund crypto exchange owned by the husband of one of his Republican sycophants/allies/donors. He’s going to pay for the acquisition with stock, the price of which is inflated to ludicrous levels by a combination of cultists, speculators, and people seeking to influence him.
The value proposition for this merger is that, as president, Trump can make sure the SEC doesn’t touch this exchange, while also giving actors who hope to influence him another way to shove money in his direction.
And all of this is so commonplace and unremarkable that no one is going to even pause for a moment to question it.
As he points out, this is pure banana republic stuff. He’ll ensure that this grift is unregulated by his SEC even as he’s providing his big money buddies with a nice easy way to pay him off. Win-win.
The first term was overwhelmingly corrupt. He made many millions from his hotels and resorts among other things. This second term, it’s going to be billions. And since he literally can do anything he wants without any fear of repurcussion there is no stopping it.