Trump's speech inspired people, but the market reacted calmly

Author: Hu Feitong

Bitcoin 2024 Conference is the largest Bitcoin conference. This year's conference is even more unusual because Trump and his team participated.

On the afternoon of July 27th, US time, and the early morning of July 28th, Beijing time, Trump delivered a nearly 50-minute speech. The content of the speech was quite shocking, and he clearly supported Bitcoin and digital currency innovation. Afterwards, the summary of the speech quickly spread through social networks, and everyone should have seen it. But what's interesting is: why is it so good, the entire digital currency market reacted very coldly to it, and the price hardly fluctuated.

First, let's see what Trump said and wrote, and then we'll talk about why the market is so calm.

Summary of Trump's Speech

Most of the summaries you have seen are extracted based on the content that the Web3 industry is concerned about. However, after watching the entire speech, you will know that the main purpose of this speech is to canvass for votes. Simply put, there is only one purpose. In November, you have to vote for me. Once elected, I will guarantee to introduce policies that are beneficial to this industry. If you vote for the other party, then you will suffer and your good days will definitely end.

A large amount of space in the speech is used to affirm myself, belittle my opponents, and make some promises to the Bitcoin community. These promises are the chips for canvassing votes. What are the promises? According to the chronological order of the speech, they are as follows: 

• How Bitcoin rose from an idea on an anonymous message board to become the world's ninth most valuable asset is a great innovation

• The United States must lead in technology, science, manufacturing, artificial intelligence, space and energy production. The United States must dominate Bitcoin and related innovations and become the capital of Bitcoin.

• Bitcoin will be mined, minted, and manufactured in the United States. If it goes to the moon, it will go from the United States.

• The Biden/Harris Administration opposes Bitcoin because it stands for freedom, sovereignty, and independence from government coercion and control.

  The day Trump is sworn in, Joe Biden, Kamala Harris, and Elizabeth Warren’s anti-cryptocurrency crusade will end.He will fire Gary Gensler on his first day!

• Trump promises to immediately shut down Operation Chokepoint 2.0 and create a Presidential Advisory Council on Bitcoin and Cryptocurrency.In 100 days, set fair rules written by people who want cryptocurrencies to thrive.

• There will never be a central bank digital currency (CBDC). He will defend the right to self-custody, freedom of trade, freedom of association, and freedom of speech.

• He will support a USD stablecoin and global Bitcoin savings. He recognizes that the actions of the current US government are a threat to the dollar, not Bitcoin.

• The Biden/Harris administration has presided over the greatest inflation in US history. Inflation destroyed Weimar Germany. Bitcoin holders understand inflation better than anyone. Inflation is a hidden tax and a national disgrace.

• Make the United States the world’s lowest-cost energy producer, harness its natural resources, and transform it into a Bitcoin mining powerhouse.

• The current US government has violated the most important rule: Never sell your Bitcoin. He will block the US government from selling its Bitcoins. This will serve as the core of the strategic national Bitcoin reserve.

• He will commuted Ross Ulbricht’s (Silk Road founder) life sentence to time already served.

• He promises to be the pro-innovation, pro-Bitcoin, and pro-tech president America deserves. He will make America and Bitcoin stronger, richer, freer, and greater.

Trump also mentioned China several times in his speech, which shows that in Trump’s mind, looking at the world, China is America’s biggest competitor and the most innovative country.

Why the market reacted calmly

Trump is in a good situation now and is likely to become the next president. If he is elected and fulfills his promises, it will be a very big positive for Bitcoin, blockchain, or Web3  the entire industry. But why is the market reacting calmly? In addition to the factors that market expectations have already digested, the fundamental reason is that many big funds do not take his words too seriously.

In fact, when the news that Trump's team agreed to participate in the Bitcoin 2024 conference was confirmed, the market reacted and the price rose slightly. Most of the promises in this speech were mentioned or guessed before, which is in line with expectations, so there is not much to rise.

In addition, the key is:

1. This is one of the countless speeches for canvassing votes. Everyone has long expected the promises of American politicians. Listen to what they say and watch what they do. The key is to watch what they do. This is too early;

2. Trump himself is a mouth. His speech this time actually hit his mouth, and it is also a possible change in his personal policy. When Trump was in the White House a few years ago, his attitude towards Bitcoin was negative; in other words, he was not always supportive of Bitcoin;

3. Trump is a rare president in American history who lacks legal training. For example, Gensler’s position at the SEC cannot be fired just by saying so. There must be sufficient reasons to fire him. It can also be said directly that the president does not have this power. This was given by Chief Justice Sutherland in 1935 in Humphrey Executor v. United States: “The authority of Congress, in creating quasi-legislative or quasi-judicial agencies, to require them to act in discharge of their duties independently of executive control cannot well be doubted; and that authority includes, as an appropriate incident, power to fix the period during which they shall continue in office, and to forbid their removal except for cause in the meantime.” The SEC is a quasi-judicial agency, which is independent of its executive branch. Similarly, even if Trump wants to promote the implementation of other promises, there will always be constraints, and he cannot really do it just because he wants to. We can recall how hard it was for Trump to push for a wall on the US-Mexico border, and how difficult it was for Obama to push for health insurance reform.

Micro Conclusion

Despite this, it is still a long-term positive for BTC. At least it shows that the Crypto industry is already an industry that cannot be ignored, and politicians need to take care of this group when considering policies, which is a huge improvement compared to a few years ago. No matter who comes to power, they will inevitably promote the regulation, compliance and innovation of digital currencies.

In addition, Trump is also the first president to accept digital currency donations. At this Bitcoin conference, they also held a fundraising event with ticket prices as high as $844,600.

At the same time, organizers of the 2024 Bitcoin Conference said they briefly discussed with Vice President Kamala Harris to let her attend the meeting, but she ultimately declined the invitation.