The Crypto Craze Sweeping Washington and Wall Street
By Jo Ling Kent, CBS News | Updated August 10, 2025
Earlier this year, Las Vegas hosted Bitcoin 2025 — the largest bitcoin conference ever held, drawing more than 35,000 attendees ranging from high rollers to die-hard cryptocurrency enthusiasts. The event showcased the growing enthusiasm surrounding digital currencies like bitcoin, which are rapidly gaining momentum not only on Wall Street but also in the corridors of power in Washington, D.C.
At the conference, voices like Michael Terpin encouraged investment in bitcoin by predicting dramatic appreciation over the coming decades. Terpin told attendees, “Your goal should be to own at least one bitcoin, because by the time you retire, that can be worth 20, 30 million.” Echoing this evangelism, speaker Guy Malone remarked, “You can’t change the Bible; it changes you. The same is true of bitcoin.”
Perhaps the most resounding consensus among the crowd was the impact of President Donald Trump’s administration on the cryptocurrency landscape. Vice President JD Vance declared to the enthusiastic audience, “I’m here today to say loud and clear, with President Trump, crypto finally has a champion and an ally in the White House.”
From Investor Pariah to Political Darling
Cryptocurrencies such as bitcoin were once widely dismissed or viewed with skepticism by investors and the general public alike. Yet, they have gradually cemented their status as significant players in the financial world, powered by a surge of political and legislative support. In July 2025, President Trump signed the GENIUS Act (a landmark piece of legislation) that cleared the path for major corporations—including Walmart and Amazon—to issue their own digital currencies. Additionally, Congress is actively debating new bills aimed at regulating cryptocurrency trading for the first time.
This newfound legitimacy comes after the cryptocurrency industry funneled more than $167 million into supporting crypto-friendly political candidates ahead of last year’s election, underlining the sector’s growing influence in Washington.
Regulatory Conversations and Risks
Despite the rising tide of crypto enthusiasm, some experts caution investors about the sector’s inherent risks and volatility. Amanda Fischer, who previously served as a high-ranking official at the Securities and Exchange Commission (SEC) during the Biden administration, emphasized the speculative nature of cryptocurrencies.
“Crypto is often marketed as an investment opportunity that will yield great returns,” Fischer explained, “but unlike stocks—which represent part ownership of companies creating goods and services—cryptocurrency is not backed by any business. It is highly volatile and speculative.”
Fischer also warned about the prevalence of scams in the crypto space, stating, “The number and sophistication of scams are so rife that the capacity to lose your money in crypto investments is substantially higher than in traditional stocks and bonds.” Under the Biden administration, the SEC cracked down on fraudulent crypto operations, but the Trump administration has taken a different approach, dismissing some of the largest ongoing regulatory cases, which critics argue has left consumers more vulnerable.
There is ongoing debate about the regulatory bills currently being considered in Congress. While many in the crypto industry publicly say they want regulation to foster growth and trust, Fischer argued these proposed laws are largely written by the industry itself. David Bailey, CEO of Nakamoto Holdings and organizer of Bitcoin 2025, disputed that characterization, saying, “I wish that was the case, that’d be fantastic. But no, it’s not true.”
The Rise of Crypto Entrepreneurs and Politics
David Bailey is among a new wave of crypto entrepreneurs who have relocated to tax-favorable jurisdictions like Puerto Rico. “It started because of taxes,” Bailey said. “Now, it’s like the place to do business.”
Bailey also played a notable role behind the scenes in persuading President Trump to embrace bitcoin during the 2024 campaign. Trump, who had previously called bitcoin “just a scam” back in 2021, has made a dramatic shift. Bailey explained, “No one convinces the president of anything. He makes up his own mind. We showed him how many people hold this asset and the opportunity it represents, which we think helped swing the election in his favor.”
Despite surveys from the Federal Reserve indicating that only about 8% of Americans have bought or held cryptocurrencies in the last year—and a mere 2% have used crypto for purchases—digital assets are increasingly integrated into financial services. It is now possible to use cryptocurrency as collateral for mortgages, and President Trump recently signed an executive order to facilitate holding cryptocurrencies in 401(k) retirement accounts.
The rising profile of crypto has sent bitcoin’s price soaring to a record high, recently surpassing $120,000 per bitcoin. Bailey himself purchased bitcoin when it was priced around $10 but admits he did not acquire enough early on.
Crypto’s Intersection with Trump’s Financial Interests
As cryptocurrency’s prominence has grown, so too has the Trump family’s involvement in the sector. CBS News estimates that Trump family-controlled crypto ventures have generated up to $765 million from token sales since late 2024. When pressed on potential conflicts of interest, the White House declined to comment on the token sales but issued a statement affirming, “Neither the President nor his family have ever engaged, or will ever engage, in conflicts of interest.”
Government ethics experts suggest this level of financial entanglement between a sitting president and the crypto industry is unprecedented. When asked if Trump’s crypto policy shift might be motivated by personal financial gain, Bailey responded firmly, “No, absolutely not. He embraces this industry because he sees the potential, not to enrich himself.”
Looking Ahead: Crypto’s Place in the Mainstream Economy
Vice President Vance, speaking at Bitcoin 2025, assured the crowd that “crypto and digital assets, particularly Bitcoin, are part of the mainstream economy and are here to stay.” Trump Media recently purchased $2 billion in bitcoin, pursuing a crypto treasury strategy and signaling that digital currencies might become an integral component of corporate finance.
However, caution remains among some experts. Fischer warned of parallels with previous financial crises, noting, “We heard similar promises about subprime mortgages in 2008 and complex financial derivatives before the last crisis. These products can create tremendous wealth—until they don’t. I fear crypto could follow that same perilous path.”
With cryptocurrency’s future now firmly intertwined with political power and mainstream finance, the coming years will reveal whether the sector’s promise yields lasting innovation or heightened risk.
Additional Information:
- Bitcoin 2025 Conference, Las Vegas
- Amanda Fischer, Policy Director and COO, Better Markets
- David Bailey, Founder and CEO, Nakamoto Holdings
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