There is nothing cryptic about Donald Trump’s endorsement of cryptocurrency. Four years ago, he said bitcoin was a “scam”. Now he wants to make America the “crypto capital of the world”. To see that as a U-turn is to miss how Trump works. The second statement follows naturally from the first. 

On Sunday, Trump said that five cryptocurrencies would be included on the US Federal Reserve’s balance sheet. America’s “crypto reserve” would include bitcoin, ethereum and three others (solana, cardano and XRP) that caught investors unawares. Whether David Sacks, Trump’s “crypto and AI czar”, whose investment firm has stakes in all five, was also surprised is a question for the Securities and Exchange Commission. Each surged in value following Trump’s announcement. 

A few hours later, Trump scrapped America’s chief anti-money laundering measure — the rule that US shell companies must disclose their beneficial owner. The second move also flowed from his first. Last month, he shut down the Department of Justice’s anti-kleptocracy initiative, which has been seizing assets such as mega yachts from sanctioned Russian oligarchs.