Legendary gold advocate and notorious crypto skeptic Peter Schiff has once again taken aim at the speculative frenzy surrounding digital assets—this time, turning his focus to former U.S. President Donald Trump and his alleged impact on the market.
In a fiery post on X, Schiff criticized Trump’s apparent pro-crypto stance, arguing that it is fueling reckless speculation, particularly with the now-imploding $TRUMP meme coin.
Trump’s Crypto Hype Leads to Disaster?
Schiff’s concerns come amid a brutal downturn for $TRUMP, a meme coin launched to capitalize on the former president’s name and growing association with crypto.
Despite an eye-watering market cap of $2.2 billion, the token has hemorrhaged over 80% of its value, with a 32.57% drop in the past month alone.
While many traders saw $TRUMP as a political statement wrapped in financial speculation, Schiff sees it as yet another example of the dangers of unregulated hype-driven investments. He warns that new investors, lured by Trump’s implicit endorsement, could be exposing themselves to major financial losses.
Schiff Slams Government’s Crypto Involvement
Beyond meme coins, Schiff has also voiced strong opposition to government-backed Bitcoin initiatives, particularly the Strategic Bitcoin Reserve—a concept that Trump praised at the Blockworks Digital Assets Summit. Schiff argues that using taxpayer money to stockpile BTC is not just reckless but a financial disaster waiting to happen.
In his view, Bitcoin fails as a store of value and remains a speculative asset, manipulated by industry insiders who hype government involvement to push retail investors deeper into risky territory. Schiff believes that Trump’s pro-crypto stance is purely political, designed to appeal to younger voters and libertarians rather than being based on sound economic policy.
The Never-Ending Cycle of Speculative Mania
The spectacular rise and fall of $TRUMP is a textbook example of crypto’s extreme volatility. While some investors treat meme coins as quick-profit plays, others ride the wave too late and suffer heavy losses. Schiff warns that with Trump actively promoting crypto, speculative bubbles may become even larger and more devastating than in previous cycles.
Despite his dire warnings, the crypto market continues to thrive, with investors showing no signs of backing down. Even after its crash, $TRUMP maintains a multi-billion-dollar valuation, highlighting the persistent appetite for high-risk, high-reward plays.
Final Thoughts: Speculation or Political Statement?
Peter Schiff’s latest critique serves as yet another reminder that crypto remains a high-risk market, especially when politics gets involved. While Trump’s nod to digital assets has fueled excitement, it has also increased the risks for uninformed investors diving into speculative tokens like $TRUMP. The crash of $TRUMP raises important questions: Is crypto becoming just another political tool, or is it evolving into a legitimate financial revolution?
For now, one thing is certain—crypto speculation isn’t going anywhere, and neither is the controversy surrounding it.
