The Trump Family's DeFi Push: Leveraging Political Influence To Build a "Digital Real Estate" Empire?

The Trump Family's DeFi Push: Leveraging Political Influence To Build a "Digital Real Estate" Empire?After courting the cryptocurrency world, US presidential candidate Donald Trump is leveraging his influence in an attempt to make his family fortune in the unregulated world of blockchain finance. On Thursday, Trump posted on his social media platform TruthSocial: "For too long, ordinary Americans have been squeezed by big banks and financial elites

The Trump Family's DeFi Push: Leveraging Political Influence To Build a "Digital Real Estate" Empire?

After courting the cryptocurrency world, US presidential candidate Donald Trump is leveraging his influence in an attempt to make his family fortune in the unregulated world of blockchain finance. On Thursday, Trump posted on his social media platform TruthSocial: "For too long, ordinary Americans have been squeezed by big banks and financial elites. It's time to stand together." (Source: Social Media) While the post is somewhat ambiguous, the final hashtags and linked content make it clear that Trump is using his influence to promote his family's blockchain finance project.

The post is linked to a messaging group called "TheDeFiantOnes," which is described as Trump's official DeFi (Decentralized Finance) project. As of press time, nearly 32,000 people have subscribed to this channel. (Source: Social Media)

DeFi, in contrast to centralized finance (CeFi) like banks and exchanges, refers to financial activities using smart contracts on blockchains. Because it is decentralized and lacks necessary regulatory measures, this emerging industry is often associated with negative events such as fraud and huge losses.

As a US presidential candidate, Trump's move is not only to attract users and make profits but also to support his two sons. Since he began promoting the blockchain and cryptocurrency industries this year, political donations have poured in. As of the end of July, the former president, who once called Bitcoin a hoax, has received $25 million in donations from the crypto sector.

A crypto-digital banking project? Obviously, the 78-year-old Trump is unlikely to be able to handle blockchain. The mastermind behind this project is his two sons, Eric Trump and Donald Trump Jr. Eric Trump, president of the Trump Organization, said in early August that the company is ready to leverage blockchain technology to enter the "digital real estate" track.

Based on limited information, the Trump family may launch a mortgage platform, but the underlying technology and trading logic are entirely based on blockchain. Eric told the media: "Currently, about half of Americans don't have bank accounts, which means most institutions can't give them loans. But with this technology, they can get an approval or rejection from lenders almost instantly based on math instead of policy. Money could be in their accounts within minutes, not months."

The president of the Trump Organization said they hope to create a world that doesn't have to play by the "script" of big banks, and that day is "coming very soon." Donald Trump Jr. has also recently said they are working to develop a crypto platform that can rival traditional banking systems.

It is worth noting that the Trump family's DeFi project has not yet publicly disclosed specific details, and its feasibility and security have not yet been verified. Many industry insiders have expressed concerns, believing that the Trump family's entry into the unregulated blockchain finance space using political influence could exacerbate risks and chaos in the industry.

Moreover, the Trump family's DeFi project is facing scrutiny from regulators. The US Securities and Exchange Commission (SEC) has begun investigating fraud in the cryptocurrency industry and has warned investors about the associated risks.

Overall, the Trump family's DeFi project is fraught with controversy, and its future development is uncertain. But it is certain that as blockchain technology continues to develop and application scenarios continue to expand, the DeFi space will continue to be full of opportunities and challenges. The involvement of the Trump family will undoubtedly bring more attention and discussion to this emerging industry.