Trump’s Ripple Effect: Crypto Endorsement Sparks Controversy

In early March, U.S. President Donald Trump’s endorsement of Ripple (XRP), Solana (SOL), and Cardano (ADA) on Truth Social for a proposed U.S. “Crypto Strategic Reserve” caused a major stir. However, the revelation that a lobbyist from Ballard Partners, connected to Ripple Labs, drafted the post led to Trump severing ties with the lobbyist, raising questions about lobbying influence and market manipulation in the crypto space.

• Trump’s crypto post drafted by lobbyist with Ripple ties
• President severs ties with lobbyist, causing market upheaval
• Inclusion of Bitcoin and Ethereum later clarified

Trump’s vision was to position the U.S. as the “Crypto Capital of the World” through a Crypto Strategic Reserve, a proposed national stockpile of cryptocurrencies to bolster the country’s position in the global digital economy. In his Truth Social post, he specifically named XRP, SOL, and ADA as potential components of this reserve. A Crypto Strategic Reserve, for those unfamiliar, is essentially a government-held stash of digital assets, aiming to stabilize the market and enhance the U.S.’s influence in the crypto world.

But here’s the kicker: the post wasn’t penned by Trump himself but by a lobbyist from Ballard Partners, a firm known for its strong connections to Ripple Labs. When Trump discovered this, he was, to put it mildly, less than thrilled. “He is not welcome in anything anymore,” a source close to Trump revealed, capturing the president’s fury and immediate action to cut ties with the lobbyist. Ballard Partners, led by Brian Ballard—a known Trump ally—earned a hefty $14 million in lobbying revenue during the first quarter of 2025, representing clients like TikTok and BMW.

The market didn’t take long to react to Trump’s post, with XRP, SOL, and ADA experiencing significant price spikes. This rapid response fueled suspicions of market manipulation, a familiar concern in the volatile world of cryptocurrencies. Market manipulation, in simple terms, is when someone artificially inflates or deflates the price of an asset, often to benefit their own financial interests at the expense of others. In the crypto world, this can lead to artificial price inflation, which can harm retail investors who may buy in at peak prices.

In an attempt to quell the uproar, Trump later clarified that Bitcoin (BTC) and Ethereum (ETH) would also be included in the strategic reserve plan. This move was likely aimed at broadening the scope of the reserve and possibly mitigating some of the backlash. Trump’s executive order also established a Strategic Bitcoin Reserve, managing all bitcoin forfeited to the U.S. Treasury with strategies like dollar-cost averaging (regularly investing a fixed amount regardless of price) and hedging (protecting against losses). The U.S. government’s Bitcoin holdings are estimated to be worth at least $17 billion, reflecting a cautious yet strategic embrace of digital currencies.

Despite the drama, neither the White House nor Ripple Labs chose to comment on the incident, leaving many questions unanswered. This episode underscores the murky intersection of politics, lobbying, and the burgeoning crypto market. It also raises critical questions about the integrity of market movements and the potential for political opportunism in the crypto space.

While the inclusion of other digital assets like XRP, SOL, and ADA in the broader U.S. Digital Asset Stockpile has been met with criticism—arguing it could distort market dynamics and lacks intrinsic value—some see potential benefits in diversifying the reserve. Diversifying could protect against the volatility of any single asset, potentially offering a more stable foundation for the U.S.’s crypto strategy.

As the crypto world continues to intertwine with political and economic spheres, staying informed and critical of these developments remains essential. Trump’s plan to turn the U.S. into the ‘Crypto Capital of the World’ sounds like it was written by a crypto maximalist’s dream diary, but it’s clear that the path forward will be fraught with challenges and opportunities alike.

Key Questions and Takeaways

• What was the content of Trump’s Truth Social post?

  Trump endorsed XRP, SOL, and ADA as potential components of a U.S. “Crypto Strategic Reserve,” aiming to position the U.S. as the “Crypto Capital of the World.”

• Who drafted Trump’s post and why did it cause a rift?

  A lobbyist from Ballard Partners, connected to Ripple Labs, drafted the post. The rift occurred because Trump was unaware of the lobbyist’s affiliations and felt misled.

• How did Trump react to learning about the lobbyist’s connection?

  Trump was furious and ordered his team to sever ties with the lobbyist, stating that the lobbyist was no longer welcome.

• What was the market impact of Trump’s post?

  The post led to price spikes in XRP, SOL, and ADA, raising suspicions of market manipulation.

• What did Trump later clarify about the strategic reserve?

  Trump later clarified that Bitcoin (BTC) and Ethereum (ETH) would also be included in the strategic reserve plan.