The Elliott Cutting Box warns the White House of the encryption bubble that “can cause chaos”

Open the newsletter to watch the White House for free

Your guide to what the American elections mean 2024 for Washington and the world

The hedge fund has warned that the Trump administration’s cooperation is the crystallization of cryptocurrencies that help the speculative mania that can cause “Havok” when the prices collapse.

The $ 70 billion company targeted the enthusiasm of the United States government, which has increased in the price, but it has no “material”, as well as politicians who support cryptocurrencies that can eventually become a competition for the US dollar, according to the investor message that they saw financial times.

Elliot wrote, “The Fund has not seen” a market like this at all, “referring to the mad investor madness, which it believes is currently controlling the financial markets. He pointed to the prosperity of artificial intelligence and high stock market assessments as signs of investors” behaving like a crowd of sports betting. “

She added that “Crypto is Ground Zero” for speculation apostasy across the markets, not only because of the size to which it has grown, but also because of his “imagined proximity to the White House.”

She said that the “inevitable collapse” of the encryption bubble can lead to ruin in ways that we cannot expect yet.

Elliot’s criticism of the White House position on encryption comes despite the fact that the company’s founder, Paul Singer, is a long -term Republican donor who donated $ 56 million to conservative candidates in the 2024 electoral session, according to OpenSecrets.

The singer, who has long warned of the risk of encryption, was criticizing Donald Trump’s economic policies in the past. However, he donated $ 5 million to the Political Labor Committee, “Make America great again” in the last elections, and his goal was to support Trump.

The prices of the currency codedly increased since Trump’s election in November, after he promised that he would make the United States “the power of the Great Bitcoin in the world.” Bitcoin rose from about $ 70,000 before the elections to the highest level in the record for more than $ 100,000.

After its inauguration, Trump signed an executive order to promote us “leadership in digital assets and financial technology with the protection of economic freedom” and assign a working group to evaluate the construction of a national digital asset stock.

Elliot’s message also refers to the “tremendous advantage” of the dollar as a backup currency in the world, and asked why the US government encourages alternatives at a time when other countries are already trying to dismantle themselves.

Elliot wrote that any elected official to support the “marginalization of the dollar” was “deeply dangerous”, highlighting hundreds of millions of dollars spent on helping politicians who were sympathetic to Crypto.

For example, the Political Labor Committee Vershaki, which works to obtain the candidates who support profit on both sides of the political corridor, spent $ 173 million in the 2023-2024 electoral session, according to OpenSecrets.

Trump’s business has extended its links with cryptocurrency markets. Besides his children and business partners for a long time, Trump’s support for a tricking platform called World Liberty Financial last year, and earlier this month, the first lady Melania Trump Memecoins – a type of encrypted currency with no basic business model or flow monetary.

Trump, the media, owned by the majority, said on Wednesday that it will expand beyond social media and launch a financial services company that would invest up to $ 250 million in cryptocurrencies and other assets.

Elliott, founded by Siner in 1977, is known as a frightening investor, who takes into account companies and even countries in the hot meeting hall or legal battles.

Elliot refused to comment.