Cardano founder Charles Hoskinson lashed out at the launch of Donald Trump’s TRUMP token, claiming it single-handedly derailed what would have been a 70-vote Senate majority for crypto legislation. The timing couldn’t have been worse. Just three days before Trump’s inauguration, the token launch sent bipartisan support into a tailspin, transforming crypto from a unified policy issue into yet another political battleground.
Hoskinson claims Trump’s crypto cash grab torpedoed regulatory progress, turning a bipartisan slam dunk into political warfare.
The TRUMP token debacle was a doozy. Trump entities kept a whopping 800 million tokens while selling 200 million to the public in January 2025. Both TRUMP and First Lady memecoins have since crashed over 93% from their peaks. Talk about a presidential dump.
Hoskinson’s claims paint a grim picture of what could have been. A supermajority in both chambers by December 2024. Smooth sailing for the Digital Asset Market Clarity Act. Instead? Senate delays, partisan bickering, and a Bitcoin maximalist rally that left altcoins in the dust.
The House actually managed to pass both the GENIUS Act for stablecoins and the CLARITY Act with bipartisan support mid-2025. But Senate Democrats balked. Hard to support legislation that might benefit the guy selling tokens from the Oval Office. Ethics experts had a field day.
The market fallout was brutal. The anticipated 2025 crypto bull run fizzled. Altcoins missed their Q4 all-time high target. Bitcoin hoarded all the capital while other projects languished. Market data shows the dominance was primarily driven by spot Bitcoin ETFs rather than just political factors. The total crypto market cap declined from $4.1 trillion to about $2.96 trillion following these developments. Not exactly the “rising tide lifts all boats” scenario the industry hoped for.
Hoskinson’s outspoken criticism cost him, too. His invitation to a Mar-a-Lago dinner? Revoked. So much for having the president’s ear on crypto policy.
The Senate Banking Committee markup is now scheduled for January 2026. Meanwhile, crypto has become a talking point for the upcoming midterms. Altcoins continue to face greater market volatility due to regulation compared to Bitcoin’s relative stability. Bipartisan? Please. That ship sailed when Trump decided to monetize his presidency through blockchain. Just another day in crypto politics.
