Eric Trump Warns Wall Street: Adapt to Crypto or Face Extinction

On Sunday, while traditional finance was off the clock, President Donald Trump announced the creation of a Strategic Crypto Reserve (SCR) for the United States, sending Bitcoin, Ethereum, and other cryptocurrencies soaring.

Eric Trump called the timing “genius” and criticized legacy finance, stating, “Traditional finance better catch up, or it will quickly become extinct. The world no longer runs on a Mon-Friday, 9 to 5.”

Markets reacted instantly. Bitcoin (BTC) surged 10% to $94,343.82, recovering from a three-month low under $80,000 on Friday. Ethereum (ETH) gained 13%. The biggest gainer was Cardano’s ADA, which skyrocketed over 60%. XRP jumped 33%, while Solana’s SOL climbed 25%. The announcement came directly from Donald Trump on Truth Social, confirming that the U.S. government would establish a national reserve holding BTC, ETH, XRP, SOL, and ADA.

Trump Confirms U.S. Crypto Reserve, Market Reacts

Trump made it clear—this wasn’t just talk. He stated, “A U.S. Crypto Reserve will elevate this critical industry after years of corrupt attacks by the Biden Administration, which is why my Executive Order on Digital Assets directed the Presidential Working Group to move forward on a Crypto Strategic Reserve that includes XRP, SOL, and ADA.” He followed up by explicitly including BTC and ETH in the reserve, stating, “And, obviously, BTC and ETH, as other valuable Cryptocurrencies, will be at the heart of the Reserve. I also love Bitcoin and Ethereum!”

This marks the first time Trump has publicly differentiated between a “crypto reserve” and a “stockpile,” with a reserve implying active purchasing of crypto over time.

Trump first introduced the Bitcoin stockpile idea last summer at Bitcoin 2024 in Nashville, Tennessee, with support from Wyoming Senator Cynthia Lummis. The concept gained traction post-Trump’s re-election, as Bitcoin surged on speculation about U.S. government adoption.

Crypto Community Divided on Trump’s Reserve Plan

Reactions from the crypto industry were mixed. Many saw the SCR as bullish, while others questioned the long-term implications. Some argue that Bitcoin should be the only asset due to its decentralization, while others worry about the government picking winners by including XRP, SOL, and ADA.

Several critics argue against the U.S. holding a crypto reserve, fearing it could destabilize the currency or be liquidated by future administrations. Adam Blumberg, vice president of Enclave Group, expressed concerns about the government owning the decentralized asset, stating, “That’s not what it was created for and puts too much power in the hands of the federal government.”

Bitcoin had been struggling since Trump’s executive order, but the SCR announcement has changed the landscape.

The next significant event is Friday, when Trump hosts the first-ever White House Crypto Summit, which may provide more details on the reserve’s operation and traditional finance’s response.