Trump’s tokens trigger Senate revolt

May 06, 2025

Reading time: 5 minutes

Democrats revolt over Trump’s crypto ties, threaten stablecoin progress

Key points:

  • Senator Chris Murphy introduced the MEME Act to ban U.S. leaders from promoting crypto assets, targeting Trump’s $TRUMP token.

  • Senator Warren and Rep. Waters urged Democrats to reject stablecoin legislation tied to Trump’s WLFI and alleged corruption.

News - Democratic lawmakers are mounting a strong political backlash against U.S. President Donald Trump’s expanding crypto involvement, particularly his family's ties to the memecoin $TRUMP and the stablecoin USD1. 

This week, Senator Chris Murphy unveiled the MEME Act, aimed at banning presidents, their families, and senior officials from launching or promoting financial assets — including digital tokens. The move came after a $2 billion deal involving WLFI’s USD1 token and a UAE investment firm surfaced, raising alarms about foreign influence.

Calling Trump’s actions “the single most corrupt act ever committed by a president,” Murphy framed his bill as a necessary response to unchecked presidential profiteering in crypto.

Fallout hits stablecoin legislation - Meanwhile, Democratic support for ongoing crypto bills is eroding fast. Senator Elizabeth Warren urged for stronger anti-money laundering provisions and stricter stablecoin oversight, arguing the existing GENIUS Act enables Trump-aligned ventures to profit unethically.

In the House, Rep. Maxine Waters led a walkout during a crypto hearing, condemning Trump’s “crypto corruption” and introducing legislation to ban public officials and their families from owning or promoting digital assets.

Previously bipartisan efforts to regulate stablecoins have now fractured, with several Senate Democrats withdrawing their support. Some lawmakers believe the backlash is more than ideological — it’s also strategic. Legal analysts speculate that donors or political leaders like Chuck Schumer may be withholding support to gain leverage on future legislation.

What’s next? - The backlash is jeopardizing bipartisan momentum for crypto regulation. Until Democrats receive stronger safeguards against perceived presidential profiteering, the GENIUS Act and broader crypto frameworks may remain stalled on Capitol Hill.

Buffett out, but ‘rat poison’ Bitcoin stance still likely at Berkshire

Key points:

  • Warren Buffett’s retirement as CEO is unlikely to change Berkshire Hathaway’s longstanding opposition to Bitcoin.

  • Incoming CEO Greg Abel is expected to uphold Buffett’s value-driven philosophy, avoiding speculative assets like crypto.

News - Warren Buffett, who once labeled Bitcoin “rat poison squared,” is stepping down as CEO of Berkshire Hathaway at the end of 2025. While the 94-year-old investing legend will stay on as chairman, Greg Abel is set to take over day-to-day leadership. But a changing of the guard doesn’t mean a change in stance on crypto.

Analysts widely expect Abel to maintain Berkshire’s no-crypto policy. “I’d be very surprised if there’s a meaningful change in Berkshire’s attitude toward Bitcoin,” said Meyer Shields, Managing Director at KBW. “Even if Abel privately disagrees, he’s unlikely to signal a break from Buffett’s values.”

Legacy of skepticism - Buffett’s disdain for Bitcoin has been consistent over the years. From calling it a “delusion” to “a gambling token,” he’s long argued that Bitcoin lacks intrinsic value. Even after meetings with prominent crypto figures like Tron’s Justin Sun, he insisted Bitcoin was no more valuable than seashells, while acknowledging the broader potential of blockchain technology.

What’s next under Abel? - While Berkshire holds a massive $347 billion cash pile — enough to buy nearly 18% of all circulating Bitcoin — Greg Abel has shown no sign of taking that route. Still, Berkshire does maintain indirect exposure through crypto-adjacent firms like Nu Holdings and Jefferies, which have stakes in ETF issuers and digital asset platforms.

If crypto adoption accelerates, Abel may eventually expand that indirect exposure — but a direct leap into Bitcoin seems highly unlikely for now.

BNB’s big bet: VanEck ETF filing meets Standard Chartered's $2.7K price forecast 

Key points:

  • Standard Chartered projects BNB to hit $2,775 by 2028, citing correlation with Bitcoin and Ethereum.

  • VanEck files for first BNB ETF in the U.S., possibly with staking rewards.

News - BNB, the native token of Binance Chain, is gaining renewed institutional interest as two major developments unfold: a bullish long-term price forecast and a potential breakthrough in regulated exposure for U.S. investors.

On Tuesday, Standard Chartered’s Geoff Kendrick projected that BNB could hit $2,775 by year-end 2028, a 360%+ increase from its current ~$600 level. According to the bank, BNB’s price and volatility trends have mirrored an equal-weighted mix of Bitcoin and Ethereum since mid-2021, making it a “benchmark” digital asset that could continue offering steady returns if Binance maintains its dominant CEX position.

VanEck enters the arena - In a separate move, investment firm VanEck filed an S-1 form with the SEC to create the first U.S.-listed BNB spot ETF. The fund would provide exposure to the BNB token’s spot price without requiring users to hold the asset directly. Notably, the filing hints at staking rewards, something previous ETF filings (like Ethereum’s) excluded due to SEC resistance under Gary Gensler.

The ETF’s future now rests on whether VanEck follows up with a 19b-4 filing—triggering a formal SEC review under new Chair Paul Atkins, who’s seen as more crypto-friendly.

Broader impact on crypto investment access - BNB’s potential listing in an ETF format could accelerate its acceptance among U.S. institutions, especially as it continues to serve as the transactional backbone of the Binance ecosystem. The token is actively used across DEXs, liquid staking platforms, and for network fees—making it central to Binance’s Web3 infrastructure.

With BNB already ranked #5 by market cap and global interest in altcoin ETFs growing, these parallel developments may cement its role as a proxy for broader crypto market performance.

Solana treasury stacks surge: DFDV and SOL Strategies add over $29M in SOL

Key points:

  • DeFi Development (DFDV) added 82,404 SOL to its treasury, pushing total holdings above 400,000 tokens (~$57M).

  • SOL Strategies (HODL) bought 122,524 SOL for $18.25M, funded by a $500M convertible note facility.

  • Both firms aim to grow validator operations and stake tokens for long-term protocol-native yields.

News - Two publicly traded firms are going all-in on Solana. DeFi Development Corporation (formerly Janover) added another 82,404 SOL—valued at over $11.2 million—bringing its total SOL holdings to 400,091 tokens. 

According to the company, part of the purchase was made through BitGo’s OTC desk and includes locked tokens, which can't yet move on-chain but can be traded institutionally. The firm plans to self-stake these holdings using its newly acquired validator infrastructure to generate passive yield and "protocol-native" revenue.

Meanwhile, SOL Strategies (HODL)—a Toronto-listed digital asset company—announced it had acquired 122,524 SOL for $18.25 million, averaging $148.96 per token. The buy was made with the first $20 million tranche from a $500 million convertible note deal secured from ATW Partners. Despite a 10% dip in HODL's share price Tuesday, the stock is still up nearly 80% over the past two weeks.

DeFi 2.0: Corporate Solana playbooks - These moves signal a rising trend: listed companies mimicking MicroStrategy’s aggressive Bitcoin strategy—but this time with Solana.

Both DFDV and HODL are not just stacking tokens, but also integrating vertically through validator operations, staking, and infrastructure development. Their goal? Generate on-chain revenue while positioning themselves as influential players in the Solana ecosystem.

With institutional capital flowing in and staking yields adding sustainability, Solana’s corporate adoption curve may be entering a new phase—one that blends yield farming with Wall Street strategy.

Interesting facts

  • AI-themed memecoins like Turbo and Mind of Pepe (MIND) are gaining investor attention in 2025. Turbo has been listed as a top AI-meme coin to watch, while MIND raised over $8 million and is preparing to launch an AI trading assistant. Even novelty coins like Fartcoin are trending on platforms like Pump.fun, showcasing the enduring blend of AI hype and meme culture.

  • Recent estimates place the total stablecoin market cap on Ethereum at over $140 billion, though numbers are climbing fast. Tether (USDT) continues to dominate, accounting for about 52% of the supply on Ethereum, with USDC steadily gaining ground. Ethereum remains the leading blockchain for stablecoin settlement and DeFi utility.

  • The crypto gambling sector is expanding rapidly, contributing to the broader online gambling market valued at over $103 billion in 2025. Platforms using Bitcoin, Ethereum, and USDT are especially popular. While monthly volume estimates vary, regulatory concerns over money laundering and Gen Z engagement continue to draw global scrutiny.

Top 3 coins of the day

Monero (XMR)

Key points:

  • At press time, XMR was trading at $285, reflecting a 0.99% increase over the last 24 hours.

  • It remained above the 9-day SMA as buying pressure persisted despite recent volatility.

What you should know:

Monero witnessed a sharp spike earlier this week, briefly touching $380 before swiftly retracing, fueled by heightened attention from a $330 million Bitcoin money laundering that involved the privacy-centric token. Despite the pullback, XMR continued to trade above its 9-day Simple Moving Average (SMA), signaling underlying bullishness. The Chaikin Money Flow (CMF) held steady in positive territory at 0.08, suggesting that capital inflows were still strong. Volume levels remained relatively elevated following the midweek surge, pointing to active market participation. While the price appears to be consolidating after its rally, the broader momentum remains intact as long as support near the $276 SMA zone holds. Traders may want to watch for a potential continuation move if XMR maintains its grip above this level.

Pudgy Penguins (PENGU)

Key points:

  • At press time, PENGU was trading at $0.011, up 1.57% over the last 24 hours.

  • The RSI hovered just below the overbought zone while the price held near its 9-day SMA.

What you should know:

PENGU sustained its upward momentum in early May, driven by a surge in NFT sales and heightened ecosystem activity. The token had rallied sharply in late April, supported by increased interest in Pudgy Penguins’ NFT-backed token mechanics. This upswing helped PENGU break past prior resistance levels before entering a phase of tight consolidation. Despite the cooling volume, the Relative Strength Index (RSI) stayed elevated at 63.83, indicating that bulls retained control though a slight decline in buying strength was evident. The price hovered close to its 9-day Simple Moving Average (SMA), which acted as dynamic support throughout the recent rally. If bullish sentiment continues and volume picks up, a move toward the $0.013 mark may materialize. However, failure to hold above the SMA could open the door to a retest of the $0.0095 support level.

Raydium (RAY)

Key points:

  • At press time, RAY was trading at $2.27, down 10.23% in the last 24 hours.

  • The token fell below its mid-Bollinger Band while RSI hovered around 42.67, indicating fading bullish momentum.

What you should know:

RAY witnessed a steep drop following its recent rally, with price action slipping beneath the 20-day simple moving average (mid-Bollinger Band). This decline came amid concerns over a potential correction, as highlighted by analysts who previously flagged RAY as overbought. The token’s fall aligned with broader market apprehension about the future of Solana-based DEXs, further triggered by negative sentiment around Raydium's development outlook. The RSI dipped toward 42.67, reflecting declining buyer strength, while bearish volume spikes hinted at growing sell pressure. If the downtrend persists, RAY may retest the lower Bollinger Band near the $2.05 zone. On the flip side, reclaiming the $2.60 level could signal renewed bullish interest, though broader recovery would require sustained buying volume and improved DEX ecosystem sentiment.

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