Trump and the Crypto Sector: Did Crypto Companies Pay for Regulatory Relief?

U.S. President Donald Trump and his family are reportedly benefiting from the termination of regulatory cases against crypto companies, according to an investigation by the New York Times.

The report notes that the withdrawn cases often involve deals connected to the broader crypto ecosystem around the Trump family. Data indicate that the administration has dropped significantly more investigations in the crypto sector compared to an average of about 4% for other industries.

Of the 14 canceled investigations against crypto companies, most involve firms with close ties to the administration. In some instances, these connections were established even before the cases were dismissed, the publication claims.

One example is Coinbase, whose case was dropped after the company actively funded a crypto-oriented super PAC during the 2024–2025 election cycle. The company has also built structures supporting candidates with pro-crypto positions.

In May, a civil case by the U.S. Securities and Exchange Commission against Binance for unregistered activities was also terminated. Binance founder Changpeng Zhao received a presidential pardon, despite previous charges, including corruption allegations.

The New York Times reports that the Binance and Zhao cases were settled alongside their involvement in initiatives linked to Liberty Financial, which develops and promotes the USD1 stablecoin.

The publication highlights that a similar “pay-for-service” pattern has been observed with other companies, including ConsenSys. Nevertheless, SEC Commissioner Hester Peirce defended the withdrawals, stating that “many of these cases should never have been filed in the first place.”

Meanwhile, the Trump family’s crypto empire continues to expand, encompassing Bitcoin mining, DeFi lending, meme coins, and stablecoins, strengthening its influence in the sector amid a more favorable regulatory environment.

This conflict of interest is already causing tensions in Congress and has nearly stalled discussions on the stablecoin bill, as well as the broader regulatory framework for crypto markets.

Most of the terminated cases have been closed permanently, meaning they cannot be reopened. It remains unclear whether regulatory pressure on the crypto sector will intensify again in the future or if the current trend will persist.