“Netflix? Overrated. I only invest in companies that actually make things.” — Trump could’ve said this after Netflix reported a drop in subscriptions. Even as a hypothetical, such a statement could tank streaming and media stocks, setting off a domino effect reaching Amazon and Disney.
When I speak with CEOs of major fintech and Web3 companies, I keep hearing the same thing: “We’re not building businesses — we’re managing turbulence.”
In 2025, the world feels like thin ice: U.S. elections, instability in Asia, capital digitization, disrupted supply chains. Now layer in the Trump effect — a political force capable of swinging global valuations faster than the FOMC can schedule a meeting.
Reality Check: 5 Tweets = $3 Billion Gone
I compiled data from key market events over the last few years where Trump’s rhetoric touched China, Big Tech regulation, or crypto. Here’s how markets reacted in the first 72 hours:
|
Event |
3-Day Market Reaction |
|---|---|
|
Anti-TikTok Rhetoric |
Meta −6.1% / Google −3.9% |
|
Pro-Bitcoin, Anti-Dollar/Fed Comments |
BTC +4.2% / S&P500 −1.6% |
|
“Green energy is just a fairy tale” |
Enphase −6.4% / Nasdaq −2.9% |
|
Threat to Tariff EV Imports |
Tesla −5.4% / Ford −2.8% |
|
Critique of streaming platforms as “worthless” |
Netflix −7.2% / Disney −3.6% |
Even hypothetical rhetoric can significantly influence market dynamics. A recent example in the stock market clearly illustrates this. On June 5, Tesla shares plummeted amid an escalating conflict between its founder Elon Musk and U.S. President Donald Trump. That day, Tesla’s stock dropped by 14.3%, wiping out approximately $150 billion in market value — marking the largest single-day loss in the company’s history.
Trump’s statements on crypto, taxation, or regulation have affected the valuations of companies like Coinbase, Binance, and Kraken. Drops of 5% to 10% in a day have translated into losses of $2–4 billion, depending on scale.
For instance, following a call for stricter oversight of crypto exchanges, Coinbase lost $4.2 billion — about 9% of its market cap at the time (avg. ~$47B). Binance, after being framed as part of the “Asian crypto threat,” shed $6.1B, or 7% of its ~$85–90B valuation. Kraken saw a $1.7B drop in two days — a hit to a platform typically valued between $20–25B. Bybit, with an average cap around $15B, has seen 5–6% drops (approx. $800–900M), especially when under regulatory scrutiny or KYC-related uncertainty. This often triggers short-term liquidity exits and TVL dips.
After speaking with Hank Huang, CEO of Kronos Research, about how much of a systemic risk political disputes in the public sphere can pose to companies in the industry — and whether it’s possible to predict their impact — he noted:
‘Political disputes in the public sphere carry significant risk for companies, especially those with high-profile leaders or government ties. Tesla’s $152.5B loss following the Musk-Trump clash highlights how quickly market value can erode. While exact impacts are hard to predict, tracking sentiment, leadership behavior, and political exposure can help manage these risks.’
Wall Street Cracks, Blockchain Rolls On
That’s how one VC partner described today’s market:
“S&P is a glass skyscraper — elegant but cracks in the wind. Crypto? It’s a tank. It doesn’t bend — it breaks through.”
Practically, this means:
- Big Tech stocks crash on sanctions, leaks, or political remarks — they’re entangled with government infrastructure.
- Crypto assets, especially BTC and ETH, often attract capital amid chaos because they don’t rely on centralized power structures.
Business Case: When a Fund Seeks a Web3 Safety Net
One week after Trump’s inauguration, my team was approached by a European venture fund previously focused on fintech and AI. They had just lost over $400M in portfolio value in three days due to market panic and the speculative repricing of Big Tech-related assets.
They were seeking solutions that could diversify risk while preserving access to high-liquidity structures. I proposed an institutional Web3 integration stack: blockchain-based custody solutions, volatility-shielded derivative products, and a strategic asset allocation pipeline through DeFi infrastructure with audited KYC layers.
The result? Within 10 days, the fund executed a partial rebalance via institutional-grade Web3 products, including automated investment strategies and blockchain-native custody. Instead of rushing for the exit, they implemented a flexible portfolio shift between on-chain derivatives and decentralized vaults. This wasn’t just a move into crypto — it was a shift toward a capital infrastructure fit for continuous macro volatility.
What I Took Away from This Case
As a business developer who’s negotiated with funds across three jurisdictions over the past six months, here’s my honest take: it’s not the most creative who wins, but the one who builds resilience into their model — adaptability, liquidity, decision autonomy, and a backup plan.
If I were to build capital infrastructure from scratch, I wouldn’t start with fiat — I’d start with blockchain.
Because in a world where a leader’s words can tank the Nasdaq, crypto remains one of the few assets that can move on its own terms.
