Crypto stocks rise after Trump names currencies in strategic reserve

Crypto stocks spiked Monday after President Trump named the cryptocurrencies to be held in a U.S. strategic reserve.

Mr. Trump on Sunday said his January executive order on digital assets would establish a supply of currencies that include Bitcoin, Ethereum, Ripple (XRP), Solana and Cardano. The names had not previously been announced.

“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,” Mr. Trump wrote on social media. “We are MAKING AMERICA GREAT AGAIN!”

Bitcoin, the world’s largest cryptocurrency, was up nearly 9% at more than $92,000 in early trading Monday.

The total cryptocurrency market climbed around 10%, or over $300 billion, within hours of Mr. Trump’s announcement, according to CoinGecko, a cryptocurrency data and analysis company.

Mr. Trump’s announcement comes on the heels of the White House’s first ever Crypto Summit which is scheduled for Friday and will include crypto industry leaders and members of the Presidential Working Group on Digital Assets.

The summit will be chaired by the White House AI and Crypto czar David Sacks and administered by Working Group Executive Director Bo Hines.

Mr. Trump campaigned on being America’s “first crypto president/” During his first week in office, he signed Executive Order 14178, which declared that “the policy of my administration [is] to support the responsible growth and use of digital assets … across all sectors of the economy.”

Many crypto firms have found their legal troubles with the federal government evaporate when the new administration came to power and the Securities and Exchange Commission withdrew from legal battles against the crypto industry.

Under interim SEC Chair Mark Uyeda and Commissioner Hester Peirce, the agency is reportedly dropping lawsuits at a rapid pace.

“After the previous administration unfairly prosecuted the digital asset space, President Trump;’ policy vision represents a new era for digital financial technology,” the White House said. “The administration is committed to providing a clear regulatory framework, enabling innovation, and protecting economic liberty.”