Key Notes
- Eric Trump warned that banks refusing to adopt crypto could disappear within ten years.
- He slammed SWIFT as outdated and costly.
- Crypto experts are criticising traditional banks for allegedly debanking crypto firms without justification.
American businessman and the U.S. president Donald Trump’s second son, Eric Trump, recently warned that banks face extinction within the next decade if they fail to adapt to the cryptocurrency industry.
Speaking with CNBC’s Dan Murphy , Trump stated that the current financial system is “broken, slow, expensive, and favors the ultra-wealthy.” He explained that these banking flaws drove him toward the crypto world.
Trump’s sharpest criticism was directed at SWIFT, the global cross-border payment messaging system. He cited SWIFT’s inefficiencies and high costs, calling it “an absolute disaster.”
Trump praised blockchain-based alternatives, offering wallet-to-wallet transfers without fees or intermediaries. He added that decentralized finance (DeFi) platforms are already proving superior to the dated infrastructure banks rely on.
Trump Media’s Crypto Adoption
Meanwhile, the Trump family’s ventures are already moving to integrate crypto more deeply into their platforms. Trump Media and Technology Group (TMTG) is reportedly planning to embed a crypto wallet and token into its upcoming video streaming service, Truth+.
TMTG recently partnered with Crypto.com and Yorkville America Digital to develop ETFs that blend cryptocurrencies and American-focused stocks. These ETFs are set to debut on the financial services platform, Truth.Fi.
Back in January, the company decided to allocate up to $250 million of its reserves into digital assets like Bitcoin and other crypto-related securities.
Crypto Debanking
Eric Trump’s statement comes as many global banking institutions remain hesitant to engage with crypto assets. Several crypto industry experts accuse traditional banks of discriminatory debanking, shutting down crypto-related accounts without justification.
Last year, popular crypto exchange Coinbase revealed that it had found over “20 examples of the FDIC telling banks to ‘pause’ or ‘refrain from providing’ or ‘not proceed’ with offering crypto-banking services.”
So far we've uncovered more than 20 examples of the FDIC telling banks to “pause” or “refrain from providing” or “not proceed” with offering crypto-banking services. The public deserves transparency, not an agency that’s working behind a bureaucratic curtain. 2/3
— paulgrewal.eth (@iampaulgrewal) November 1, 2024
Under Donald Trump’s presidency, there has been a push to soften regulatory hostility toward crypto firms. Earlier this year, the Senate Banking Committee, led by Senator Tim Scott, pledged to eliminate unfair debanking policies, calling them “un-American.”
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