Donald Trump’s recent endorsement of XRP, Solana, and Cardano for a proposed “Strategic Crypto Reserve” turned into a political snafu. It all started with a seemingly innocent social media post, but the story behind it reveals a potentially orchestrated campaign by lobbyists.
The Setup
A staffer from the lobbying firm Ballard Partners repeatedly pushed Trump to post pre-written text promoting specific cryptocurrencies, including XRP. After initially refusing, Trump eventually relented and the post went live. The post touted the creation of a US Crypto Reserve including XRP, Solana (SOL), and Cardano (ADA), positioning the US as the “Crypto Capital of the World.”
The Backlash
The White House quickly realized that Ballard Partners represented Ripple, the company behind XRP. This revelation angered Trump and his staff. Trump felt “used” and reportedly banned Ballard from future White House meetings. The situation was further complicated when the post conflicted with an upcoming government crypto summit. Trump later added Bitcoin and Ethereum to his endorsement, seemingly trying to damage control the situation. A senior aide even called Ballard to express their displeasure.
The Aftermath
Ballard denied being frozen out, citing continued contact with Trump’s team. However, other clients of Ballard Partners reportedly sought alternative avenues to access Trump, suggesting that Ballard’s influence had indeed been diminished. It’s worth noting that Ripple had previously donated heavily to pro-Trump causes.
While the exact extent of Ripple’s influence remains unclear, the incident led to a revised executive order. Instead of a reserve including XRP, the new order focuses on a “Digital Asset Stockpile” that will only buy and hold Bitcoin.
The whole situation highlights the potential for conflicts of interest in political endorsements and lobbying efforts within the cryptocurrency space. At the time of writing, XRP was trading at $2.29.
