Hey DDians! How’s it going? Still wrapping your head around the recent crypto crash? Well, the market is taking a breather at the moment. Also, we feel that a little dilution of optimism turned euphoria is important for sustained long-term growth. Want to know what others think about the crash? Read on!
Here’s what we have for you in this issue:
- The $20 billion shock wave in the market
- Policy or profit? Trump is blurring the line
While Wall Street stayed calm, crypto traders nuked themselves. 💥
On Friday, a $20 billion crash across crypto markets shocked the living soul out of traders and investors.
You must have assumed that the big shots did it. Well, they have amassed massive holdings, especially in BTC and ETH. And probably, this is how they are exiting.
But JP Morgan has a different theory.
Wall Street and institutions were cool. The crash came on account of leverage-heavy crypto traders.
Source: @CryptosR_Us
A new JPMorgan report reveals the crash was driven not by institutional panic or ETF outflows, but by crypto-native traders nuking themselves on leverage.
CME and ETF positions barely moved—yet perpetual futures open interest dropped 40%, signaling that degens on offshore exchanges were behind the biggest liquidation event in crypto history.
With increasing institutional involvement, crypto markets have come of age.
Institutions are in it for the long haul. It’s the crypto traders high on derivatives who are driving volatility in the markets.
Geopolitical and macroeconomic scenarios such as Trump tariffs on China, and uncertainty regarding the Fed’s stance on monetary policy seem to be setting up the stage for a bearish wipeout (of overly exposed longs).
Now that open interest on perpetual futures markets has dropped, it is safe to say that Bitcoin and crypto markets have found the much-needed floor for a solid takeoff.
Bitcoin’s weekly shows exactly that.
And this is something that is much needed for sustained rallies in the long term.
How to build a billion-dollar crypto empire? Become the US President. 🤵🏼
Assuming the office of the US presidency for the second time has paid off for Trump and his family.
Together, the lot turned the White House into the world’s most profitable crypto incubator.
If Eric Trump’s recent interview with the Financial Times is anything to go by, his family’s crypto ventures have already made over $1 billion in profit.
For a family that once called Bitcoin a scam, that’s one hell of a turnaround.
Here’s where the money is coming from:
- World Liberty Financial (WLFI)—the family’s flagship crypto firm—has reportedly sold over $550 million worth of its WLFI token. Investors include TRON’s Justin Sun and the UAE’s Aqua 1 Foundation. The project plans to roll out lending, tokenized deposits, and stablecoin yield services under the USD1 brand.
- Trump NFTs—remember those meme-worthy trading cards? They’ve now done over $200 million in volume, becoming a collector’s favorite among MAGA supporters.
- Meme coins—both Donald and Melania have official coins, which experience massive speculative activity after each of Trump’s campaign announcements.
- American Bitcoin—a Bitcoin mining and treasury firm run by Eric and Donald Jr., in partnership with Hut 8.
Put it together, and you’ve got a family that has turned crypto hype, celebrity fandom, and political power into a roaring cash engine.
And here’s where things become concerning:
Passing pro-crypto laws like the GENIUS Act as the foundation for stablecoin regulation was a welcome move by the Trump administration.
Critics started calling foul when the same administration started profiting from the assets it’s supposed to oversee.
Sen. Elizabeth Warren slammed the family for hosting “an orgy of corruption” when Trump invited top holders of his meme coin to a White House dinner earlier this year. Hundreds of protestors turned up at the gates.
The crypto community is also divided in its reaction towards the same.
And the surprising part?
Revelations of profits north of a billion dollars came just days after the crypto market’s biggest crash of 2025, which was triggered by Trump’s own announcement of 100% tariffs on Chinese tech imports.
Even with billions being wiped off the market, Trump’s holdings remain in the green.
What’s the big picture?
The situation is much more serious than just a family making a billion dollars.
It’s about the blurring line between politics, money, and crypto.
Trump’s policies, geared towards shaping the market, are also fueling his own wealth. And if this is how the “Crypto President” operates, we might be entering an era where power and profit are mined from the same blockchain.
One thing’s for sure:
The next bull run doesn’t start in Hong Kong or Dubai—it starts in Washington, D.C.
And no matter where the bull run starts, it will stay for a long time; this is what we believe in because when institutions get involved, the objective is always long-term wealth creation.
Adopting such a mindset could also help retail traders who were just looking to make a quick buck. We hope you are aligned with the institutional wealth-building ideology. We know we are.
That’s all for now, folks. See you in the next one.
Ciao👋
