Hedge Fund Elliott warns that Trump is inflating a crypto bubble that could break the devastation “
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The embrace of the Crypto Currency of Trump’s administration helps to stimulate the speculative mania that could cause “desolation” when prices collapse, Hedge Fund Elliott warned.
70 billion company. According to a letter from the investor seen by the financial Times.
The Fund “never saw this market,” Elliott wrote, referring to the speculative investor Frenzy I believe that he is currently capturing financial markets. He pointed to an assessment of artificial intelligence and high -owned market as signs of investors “behaving like a crowd of sports bookmakers.”
“Crypto is a terrestrial zero” for speculative rush in markets, not only because of the size it has grown into, but also because of “the vicinity of the White House,” he added.
“The inevitable collapse of the” bubble crypto “could be devastated in ways that we cannot yet predict,” the statement said.
Elliott’s criticism of the White House’s attitude about cryptocurrencies comes despite the fact that the founder of Paul Singer is a long -standing Republican donor who donated $ 56 million to conservative candidates at the Opensecrets Website.
Singer, who has long warned of the dangers of cryptocurrency, has been critical of Donald Trump’s economic policies in the past. However, in the last election he donated $ 5 million to the Political Action Committee “Make America Great”, aimed at supporting Trump.
The prices of cryptocurrencies were strongly gathered from Trump’s elections in November, after promising that he would now make the “Bitcoin Super Sive of the World”. Bitcoin increased with about $ 70,000 before the election to a record maximum of more than $ 100,000.
After his inauguration, Trump signed an executive order to promote American “leadership in digital property and financial technology, at the same time protected economic freedom” and borrowed a working group for the creation of a national supplies of digital assets.
Elliott’s letter also points to the “huge advantage” that the dollar enjoys as a world-class courageous currency and asked why the US government would stimulate the acceptance of an alternative at a time when other countries are already trying to deduct from Greenback.
For any chosen official who supports the “marginalization of the dollar” was “deeply dangerous,” Elliott wrote, pointing out hundreds of millions of dollars spent by helping politicians who were sympathetic to cryptocurrencies to be chosen.
For example, the Fairhake Political Action Committee, which acts on collecting candidates for pro-CCTO selected on both sides of a political aisle, spent $ 173 million in the 2023-2024 election cycle, according to Opensecrets.
Trump’s own businesses have expanded their links with cryptocurrency markets. In addition to his sons and long -standing business partners, Trump supported the crypto platform under the name Liberty Financial last year, and earlier this month and the first lady of Melania Trump launched Memecoins – a type of crypto currency without a basic business model or cash flow.
Trump media, in which the president has a majority share, said he would expand on Wednesday outside the social media and start a financial services work that will invest up to $ 250 million in the cryptocurrency currency and other property.
Elliott, who founded Singer in 1977, is known as a terrifying activist investor, who takes over companies and even countries in heated councilors or legal battles.
Elliott refused to comment.
