Tue Mar 04 01:10:00 UTC 2025: ## Trump’s Crypto Reserve Plan Sends Markets Soaring, Raises Conflict-of-Interest Concerns

**Washington D.C.** – President Trump’s Sunday announcement of a planned federal cryptocurrency reserve, including assets like Bitcoin (BTC), Ethereum (ETH), and Solana (SOL), sent digital asset markets into a frenzy, with some tokens experiencing double-digit percentage increases. However, the move has also intensified concerns about potential conflicts of interest involving David Sacks, the president’s crypto and AI czar.

The proposed reserve’s inclusion of XRP, Solana, Cardano (ADA), Ethereum, and Bitcoin immediately boosted the prices of these cryptocurrencies. This rapid market reaction highlighted the potential for Trump and his associates to personally profit from these policies.

The focus fell on Sacks, whose venture capital firm, Craft Ventures, holds investments in Bitwise, a crypto index fund manager with significant holdings in all the tokens named by Trump. Sacks previously disclosed personal investments in some of these tokens as well. While Sacks claimed on X (formerly Twitter) to have sold his personal cryptocurrency holdings and a significant portion of his Bitwise ETF stake prior to joining the administration, the firm’s continued investment in Bitwise remains a point of contention. Craft Ventures declined to provide further details beyond Sacks’ statements.

Bitwise, which manages exchange-traded funds (ETFs) including a 10 Crypto Index Fund encompassing all the tokens slated for the reserve, stands to benefit significantly from increased demand should the president’s plan materialize. They have also applied for ETFs for XRP and SOL. Bitwise did not respond to requests for comment.

Further fueling concerns, Trump’s own business ventures in cryptocurrency raise additional conflict-of-interest questions. He recently launched a meme coin, and his company, World Liberty Financial (WLFI), holds a treasury of crypto assets overlapping with those proposed for the federal reserve.

Sacks is scheduled to host a White House cryptocurrency summit on Friday, where further details are expected. While Trump’s anti-regulatory stance has attracted support from the crypto industry, the inclusion of volatile assets like ADA and XRP has raised fears among some supporters that it could undermine the sector’s legitimacy. The situation underscores the complex interplay between politics, finance, and the rapidly evolving cryptocurrency market.

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