Wall Street Embraces Crypto Amid Trump Policy Support
Three years ago, a heated debate on cryptocurrencies at the annual derivatives industry conference pitted FTX founder Sam Bankman-Fried against CME Group CEO Terry Duffy. Today, the landscape has shifted dramatically.
With President Trump's recent symbolic move to establish a Bitcoin strategic reserve, crypto assets have gained legitimacy in mainstream finance. This shift has opened doors for Wall Street institutions previously hesitant to dive into digital assets.
Key Developments:
- Trump's Pro-Crypto Stance: The administration's support has encouraged deeper institutional involvement, including potential collaborations between Trump-linked firms and major exchanges like Binance.
- Traditional Finance Meets Crypto: At the Futures Industry Conference in Florida, the line between Wall Street and crypto executives blurred, marked by formal attire and mainstream entertainment.
Wall Street's Crypto Expansion
Policy tailwinds have spurred traditional financial players to accelerate their crypto strategies:
| Institution | Crypto Move |
|---|---|
| Citadel Securities | Transitioning from caution to becoming a digital asset liquidity provider. |
| CME Group | Expanding beyond Bitcoin futures with Solana derivatives. |
| ICE | Exploring entry to compete with CME in crypto derivatives. |
| SGX | Planning Bitcoin perpetual futures for institutional clients by late 2025. |
👉 How institutions are leveraging crypto opportunities
Blockchain and 24/7 Trading: The Next Frontier
DRW Holdings founder Don Wilson highlighted blockchain's role in enabling round-the-clock trading: "The consensus now is that blockchain will be pivotal for 24/7 markets."
Regulatory Thaw Post-FTX
After the 2022 FTX collapse, U.S. regulators cracked down hard. But under Trump:
- The SEC dropped cases against Robinhood and Coinbase.
- Over 10 crypto-related lawsuits were paused or withdrawn in a month.
"Regulatory shifts are creating windows for institutional entry," says Tradeweb's Elisabeth Kirby.
Banks Join the Fray
- Morgan Stanley: Seeking crypto IPO clients.
- Bank of America: Debating crypto trading involvement.
- RBC: Aiming for its first crypto trade by 2024's end.
CME's CEO: From Skeptic to Supporter
Once a vocal critic, CME's Terry Duffy now oversees the largest crypto derivatives exchange: "We launched Bitcoin futures in 2017, followed by Ethereum, and now Solana. Crypto belongs in mainstream finance."
👉 Why CME's pivot matters for crypto adoption
FAQs
Q: How has Trump influenced crypto adoption?
A: His policies, including the Bitcoin reserve plan and relaxed SEC enforcement, have boosted institutional confidence.
Q: What’s driving Wall Street’s crypto push?
A: Regulatory clarity, client demand, and the potential for high-margin crypto services.
Q: Will blockchain enable 24/7 stock trading?
A: Experts believe blockchain infrastructure could make this transition feasible within years.
Q: Is CME’s Solana futures a big deal?
A: Yes—it signals growing institutional acceptance of altcoins beyond Bitcoin and Ethereum.