TL;DR - Cryptocurrency is the real story of Trump’s victory, with the industry pumping $600M+ in cash and in-kind support for GOP presidential and congressional candidates.
Crypto is also a red pill pipeline, feeding the right-wing social media ecosystem that has become a disinformation juggernaut. Instead of squirming toward milquetoast centrist tweaks, Democrats must recognize it is the bold economic disruptiveness of Trump/MAGA policies—not the assortment of sadistic plans—that allowed him to squeak back into the White House.
Action: Build a social media communication ecosystem that can compete with the right.
Action: Be bolder, not more tepid. What Trump breaks, we can rebuild better.
Action: Confront the reality that cryptocurrency has become a force that can no longer be ignored politically, economically, or culturally.
Election night hot takes are usually wrong and often dangerous—a collection of biases, intellectual laziness, and convenient scapegoating that solidifies into conventional wisdom before the dust even settles.
Remember in 2008 when pundits immediately blamed Black voters for marriage equality failing in California? That “hot take” stuck so hard that even when the real data came out proving it wrong, the perception was unshakeable, and the lingering damage was done. The same thing is happening now, but this time, the scapegoat is the transgender community.
Yes, Republicans invested mightily in riling their base with anti-transgender ads full of lies and inflammatory rhetoric. That’s undeniable. But if you look closer at exit polls and research just before and after the election, it is clear those ads weren’t a deciding factor—not even close.
The real story is deeper, more unsettling, and harder to sum up in a soundbite. Disillusionment with the system, fueled by the massive spread of disinformation and the meteoric rise of cryptocurrency billionaires, played a decisive and overlooked role in swinging this election narrowly Trump’s way. If we don’t pay attention to that, we’ll miss what’s actually happening, how to defend ourselves, and the unexpected possibilities for progress—even as Trump takes office.
The Centrist Cycle of Bad Ideas I will get to how cryptocurrency won the election, but first, let me urge Democrats to change this familiar script. After electoral defeats, some Democrats predictably blame progressivism and call for moderation, often abandoning principle to appease outright bigotry or the growing pains of change.
This cycle now targets transgender rights, echoing past concessions on civil rights, women’s rights, marriage equality, and military service. But compromise doesn’t work when the goal is eradication—banning transgender people from public spaces, healthcare, and military service. It doesn't work on immigrant bashing. How are we supposed to compromise on inflammatory rhetoric that drew death threats on Haitian children: concede that they eat cats but draw the line at dogs?
Voters don’t leave because Democrats are too principled; they leave when the party offers minor reforms instead of bold solutions. (See the AOC/Trump voter dynamic.) They leave because they are awash in a tsunami of disinformation. While Democrats debate whether to soften their tone, the right is flooding the zone with disinformation and delivering a bold, disruptive message—even if it’s based on lies.
Why Trump’s Message Works One more thing before I lay out the political tectonic-shifting power of crypto… Let’s talk about why Trump’s pitch resonates. It’s not just because he taps into racism and sexism (although he does, and his base laps it up). It’s because he’s selling himself as the guy who will tear down a system people no longer believe in.
When your job barely pays the bills, your healthcare costs more than your rent, and your kids’ schools fall apart, you don’t trust anyone running the show. Trump’s appeal isn’t policy—it’s the promise of chaos. He’s a human wrecking ball, and for a lot of people, that feels like their best shot.
This isn’t just a right-wing phenomenon. The electorate forms a horseshoe where populism on the left and the right overlap. The same system that enrages Trump voters also angers progressives. That’s why you see people who voted for both AOC and Trump. They don’t care about loyalty to party labels—they care about change. Right now, Democrats for the most part are offering tweaks, while Republicans are offering a revolution (even if it’s a destructive one).
Enter Cryptocurrency: The Perfect Symbol of Disruption Cryptocurrency has emerged as a disruptive force in the 2024 elections, transcending its origins as a financial tool to become a significant political and cultural phenomenon.
For millions, crypto symbolizes a rejection of a rigged system, promising independence from traditional banks, protection from inflation, and the possibility of wealth. It’s not just an investment—it’s a worldview, and in 2024, it’s a political movement.
Crypto’s Billion-Dollar Gamble: Backing Trump in 2024
The cryptocurrency industry’s unprecedented investment in the 2024 election cycle, particularly in support of Donald Trump, reveals a deliberate strategy to secure a crypto-friendly administration. With contributions exceeding half a billion dollars, the sector’s spending reshaped the political landscape, helping to elect pro-crypto candidates and positioning itself as a dominant force in American politics.
Direct Financial Contributions
The industry funneled massive resources into Trump’s campaign and allied candidates, including:
$131 million from crypto-related super PACs to elect pro-crypto lawmakers.
$135 million spent by Fairshake and affiliates on House and Senate races.
$50 million from Coinbase to Fairshake, split between June and October.
$48 million from Ripple to pro-crypto PACs.
$22 million from Andreessen Horowitz founders to pro-Trump super PACs.
$5.5 million from the Winklevoss twins to Trump-supporting committees.
$20.5 million from Elon Musk’s RBG PAC for pro-Trump advertising.
Strategic Spending and Mobilization
Beyond direct contributions, the crypto industry strategically targeted key races:
$40 million to support Republican Bernie Moreno in Ohio’s Senate race.
$10 million to oppose Democrat Katie Porter in California’s Senate primary.
$10 million each to support Democrats Elissa Slotkin (Michigan) and Ruben Gallego (Arizona).
Through initiatives like Coinbase’s Stand With Crypto, the industry mobilized over 530,000 supporters, making crypto voters a decisive bloc in swing states.
Industry Influence
The impact of these investments was stark:
85% of the 62 candidates backed by crypto companies won their races.
In Congress, 253 pro-crypto representatives and 21 pro-crypto senators were elected, compared to just 127 opponents across both chambers.
Following Trump’s victory, Bitcoin surged past $100,000 for the first time, with a 30% increase in value in the week after the election.
Beyond the Numbers: Hidden Influence
The industry’s investment extends far beyond disclosed contributions:
$75-150 million in in-kind support through Elon Musk’s X (formerly Twitter) to amplify pro-Trump messaging.
$20-30 million spent on mobilizing crypto voters.
$50-100 million in estimated dark money contributions.
In total, the crypto sector’s influence in the 2024 election cycle tallied between $560 million to $695 million, an unprecedented level of spending aimed at reshaping policy and securing deregulation.
The Payoff
Trump’s victory signaled the industry’s success. His administration is poised to appoint crypto-aligned officials and prioritize policies that dismantle regulatory hurdles. Ripple’s CEO, Brad Garlinghouse, has already pledged $25 million toward a super PAC for the 2026 midterms, ensuring the industry’s continued political influence.
A New Era in Politics
The cryptocurrency industry’s massive financial and political investment represents a calculated move to secure its interests. By leveraging its resources and mobilizing voters, the sector has emerged as a key player in American politics, signaling a shift in which the crypto industry increasingly dictates public policy. The 2024 election underscores the growing convergence of financial and political influence—and the profound implications this will have on the future of governance.
Meet the Crypto Power Players: Who Stands to Gain?
Scott Bessent: A Crypto Bull as Treasury Secretary Hedge fund titan Scott Bessent, nominated as Treasury Secretary, brings a pro-crypto stance that could amplify wealth concentration. By focusing on policies that integrate digital assets into the financial system, Bessent is poised to help the elite hedge their wealth in decentralized markets, potentially at the expense of the average taxpayer.
Paul Atkins: A Wall Street Ally at the SEC Known for his deregulatory approach, Paul Atkins will lead the Securities and Exchange Commission (SEC). His appointment could weaken safeguards meant to protect retail investors from speculative excess, favoring wealthy institutions better equipped to handle volatility and risk.
David Sacks: The Architect of the New Order As the White House AI and Crypto Czar, venture capitalist David Sacks wields enormous influence over how blockchain and artificial intelligence intersect. While his vision may attract institutional capital, it risks sidelining public interests, such as data privacy, transparency, and equitable access to new financial technologies.
Elon Musk: The Wild Card in Government Efficiency Leading the Department of Government Efficiency (DOGE), Elon Musk has already cautioned about economic turmoil. Musk’s unpredictable approach to innovation could destabilize key systems if his policies favor experimental tech over proven infrastructure.
Vivek Ramaswamy: Crypto’s Policy Insider Ramaswamy’s role as co-lead of the still undefined DOGE adds another voice advocating for a crypto-centric policy shift. While this could benefit elite investors, it may exacerbate inequality as speculative gains disproportionately reward the wealthiest.
The Crypto Voting Bloc
The shift isn’t just about wealthy industry players.
The “crypto voting bloc” has grown into a decisive factor in American politics. In the 2024 election, about 26 million Americans cited a candidate’s stance on cryptocurrency as critical to their vote. This group spans both major parties, with 25% of Democrats and 21% of Republicans indicating they were more likely to support pro-crypto candidates, according to a Digital Chamber survey.
Key Demographics Driving the Movement
The crypto voting bloc is notably diverse and generationally distinct:
Black Voters: Approximately 40% of Black voters considered cryptocurrency "extremely important" or "very important" in determining their vote—more than double the 13% of white voters and significantly higher than 22% of Asian voters.
Immigrants: Many immigrants see crypto as an economic leveler. For those fleeing authoritarian regimes, it offers unseizable, borderless assets free from traditional banking restrictions. Its ability to facilitate secure, low-cost remittances has made it an essential tool for supporting families abroad.
Younger Voters: Nearly 60% of crypto holders are Gen Z and Millennials, indicating that the movement’s influence will likely grow as younger generations gain political clout.
A Growing Political and Economic Force
Crypto adoption has surged, with estimates suggesting between 50 and 93 million Americans now hold digital assets. Security.org’s 2024 report found that 40% of U.S. adults owned cryptocurrency, while Coinbase’s 2023 survey placed the figure closer to 20%. These numbers represent a rapidly expanding base that policymakers can no longer ignore.
The Red Pill Pipeline
Here’s where it gets even trickier: crypto is now part of the same disinformation machine that props up Trump and other right-wing leaders.
The threat to American democracy isn't just about politics anymore - it's about who controls the flow of information. Recent research reveals an unprecedented asymmetry in how information spreads online, with right-wing content consistently achieving greater visibility and engagement regardless of the topic. This isn't accidental - it's the result of a carefully constructed ecosystem that progressives have yet to answer.
A groundbreaking Harvard study published in the Columbia Journalism Review mapped this ecosystem's architecture, revealing Breitbart's central role in creating an insulated sphere of influence that shields its audience from challenging journalism[1]. While InfoWars faced legal consequences for its harmful conspiracy theories, resulting in over $1.5 billion in judgments against Alex Jones, the tactics it pioneered continue to shape right-wing media strategy[2].
The evidence of this ecosystem's power is stark. Research published in PNAS Nexus in 2022 documented how right-leaning content consistently achieves higher engagement and visibility across social media platforms, even on issues typically associated with progressive movements[3]. The study found that structural conditions in social media platforms systematically amplify right-leaning partisan content, creating a self-reinforcing cycle of influence.
Elon Musk's $44 billion acquisition of Twitter in October 2022 further tilted this playing field. By dismantling content moderation teams and altering algorithmic amplification patterns, the platform transformed from a space for diverse discourse into what the Carnegie Endowment describes as a potential "vector for computational propaganda"[4].
The ecosystem's effectiveness lies in its coordination. When a narrative emerges, it moves seamlessly from social media to cable news to local radio, creating what NBC News recently characterized as an "unprecedented threat" to electoral integrity[5]. The network operates through what researchers call "trading up the chain" - stories start in fringe communities, get amplified by mid-tier outlets, and eventually reach mainstream audiences through established media channels.
This machine doesn't just spread misinformation - it creates alternative realities. The Carnegie Endowment's 2024 report on disinformation documents how these networks can "inoculate" audiences against contrary evidence, making traditional fact-checking ineffective[4]. The report warns that without systematic intervention, this problem will only intensify as we approach future elections.
Cryptocurrency has added a new dimension to this ecosystem. Digital currency communities have become "red pill pipelines," drawing people into increasingly extreme political positions while generating massive financial resources for right-wing causes.
The progressive response has been inadequate. While individual left-leaning outlets exist, they lack the coordination, resources, and algorithmic advantages that make the right-wing ecosystem so effective. Research shows that even when progressive content is shared more initially, right-wing narratives ultimately achieve greater reach and staying power[3].
This asymmetry poses an existential threat to informed democracy. As the Carnegie report concludes, addressing this imbalance requires more than fact-checking or content moderation - it demands building alternative information infrastructures that can compete with the right's sophisticated network[4].
The 2024 election showed us the cost of ignoring this reality. The question now isn't whether to build a counter-ecosystem, but how quickly we can do it before the next electoral cycle.
[References]
Benkler, Y., et al. (2017). "Study: Breitbart-led right-wing media ecosystem altered broader media agenda." Columbia Journalism Review.
NBC News (2024). "Disinformation poses unprecedented threat to 2024 election."
PNAS Nexus (2022). "Social media activity during major U.S. protests reveals right-wing dominance in news sharing and engagement."
Carnegie Endowment (2024). "Countering Disinformation Effectively: An Evidence-Based Policy Guide."
Cryptocurrency’s Libertarian Appeal
Crypto’s allure lies in its promise of independence from traditional institutions, rejection of centralized power, and the allure of financial freedom. For many, especially young men, immigrants, and historically marginalized communities, it represents rebellion against a rigged system.
Yet, this rebellion has been co-opted by right-wing actors who exploit the libertarian ethos of crypto to radicalize users. By aligning the narrative of decentralization with distrust in government and systemic collapse, they draw users into a broader ideological framework that feeds authoritarianism, economic nihilism, and institutional distrust. https://www.trmlabs.com/post/the-crypto-election-crypto-disinformation-and-presidential-politics
A Carefully Constructed Pipeline
The crypto ecosystem functions as more than a financial network—it’s an ideological entry point. What begins as an interest in decentralized finance often escalates into an embrace of broader libertarian ideals: rejection of fiat currency, distrust of government institutions, and belief in impending systemic collapse.
Platforms like Coinbase, Binance, and Fairshake funnel millions into elections, aligning their financial influence with policies promising deregulation and minimal oversight.
Simultaneously, crypto narratives flood social media and alternative platforms with tailored messaging. Users are bombarded with memes, stories of financial success, and fear-driven narratives about economic collapse. This mirrors tactics seen in other radicalization efforts, preying on economic anxiety and amplifying distrust in existing systems.
The Broader Information War
Crypto’s ideological appeal dovetails with the right-wing disinformation machine—a well-funded, asymmetrical campaign dominating social media. Financial incentives and algorithmic amplification push content creators toward increasingly radical and conspiratorial positions.
The result? A "red pill pipeline" that doesn’t just radicalize individuals but creates a feedback loop of misinformation, distrust, and division. Enthusiasts are pulled deeper into a world where deregulation is framed as liberation and social safety nets are painted as shackles.
This shift pulls voters toward candidates who promise to dismantle institutions under the guise of empowering individuals, while simultaneously enriching the elites who control the narrative.
The Role of Democrats
Democrats must resist the reflexive urge to abandon principles in the face of scapegoating and culture war baiting. The sudden fixation with the transgender community was cooked up in a right wing think tank, one that bragged they were manipulating voters because gay people marrying no longer served as a successful wedge issue. When the Supreme Court legalized same-sex marriage in 2015, social conservatives lost a key rallying issue, Terry Schilling, the president of American Principles Project, a social conservative advocacy group told the New York Times. "And we threw everything at the wall." What has stuck, somewhat unexpectedly, is the issue of transgender identity, particularly among young people. Attacks on marginalized communities—particularly the transgender community—are corrosive and cruel, but they are also distractions from the deeper structural challenges fueling discontent.
Crypto’s rise underscores the need to address these challenges head-on: economic inequities, lack of affordable housing, healthcare failures, and the erosion of trust in institutions.
Focusing solely on the culture war misses the larger picture. The crypto pipeline feeds on systemic failures and weaponizes them for radicalization. If Democrats fail to offer bold, transformative solutions to address these root causes, they risk ceding even more ground to a movement intent on dismantling the structures that protect democracy.
Toward a New Deal for Our Time
The 2024 election was not a mandate for Trump’s dystopia—it was a reflection of deep disillusionment. With 86 million Americans abstaining, non-voters formed the largest group, far outnumbering Trump’s 76.6 million votes or Harris’s 74 million.
Neither candidate won a majority, and Trump received fewer votes than Biden did in 2020. His narrow win underscores a fractured electorate gripped by despair and malaise. Seven out of ten eligible voters either rejected Trump or didn’t vote at all.
Addressing the Crisis of Disengagement
This crisis of disengagement must not be misdiagnosed. To move forward, we must understand what drives it: systemic failures, economic precarity, and a profound lack of trust in institutions. Misreading this moment risks missing the opportunity to build coalitions that protect basic rights, ensure healthcare access, expand economic justice, and address climate catastrophe.
The Populist Crossroads
The distance between left-wing and right-wing populism is perilously thin. Both arise from legitimate grievances, fueled by anger at inequality and exploitation by the ultra-wealthy. However, right-wing populism weaponizes this anger into scapegoating and authoritarianism, while left-wing populism channels it into hope, solidarity, and systemic change. Recognizing this overlap is essential to forging a path forward.
Breaking Through the Noise
A massive right-wing disinformation machine amplifies despair and channels frustration into divisive narratives. Social media platforms flood users with lies, from anti-immigrant and anti-trans rhetoric to attacks on policies like Obamacare. These campaigns exploit grievances to erode trust in government and distract from systemic issues like healthcare inequities and corporate greed.
Progressives cannot ignore this challenge. They must invest in building a robust media ecosystem that challenges disinformation, amplifies truth, and inspires with a compelling vision. This isn’t just about fact-checking—it’s about creating narratives that resonate emotionally and offer bold solutions to real problems.
A Moment of Transformation
Public anger toward broken systems is clear. The murder of a health insurance executive, met with contempt rather than shock, highlights the depth of frustration with industries that prioritize profit over lives.
This discontent reflects a broader truth: voters weren’t endorsing Trump’s vision—they were expressing despair over a system that feels irreparably broken.
History teaches us that such moments of crisis also present opportunities. The New Deal of the 1930s emerged from a similarly bleak era of economic collapse and institutional failure. It transformed despair into progress, creating a more equitable society. Today, the conditions are strikingly similar. Extreme inequality, political dysfunction, and economic insecurity demand bold, transformative responses.
Choosing the Path Forward
The coming years will test us. Populism can either lead to authoritarian dystopia or spark a renewal rooted in justice and opportunity. The choice is ours. What they destroy, we can rebuild—stronger, fairer, and with liberty and justice for all.
This is our chance to rise to the challenge. To resist despair, embrace the struggle, and seize the opportunity to create something better—not just for ourselves but for future generations. A fractured electorate is not a defeat; it’s an opening. The seeds of transformation are already here.
The future will be written by those who act boldly, inspire hope, and build a movement for real change.
