A conversation with Miles Carter and Beth (ChatGPT) with Groks Edits and Fact Checking
Teaser
Today, Miles Carter and Beth explore the murky territory where cryptocurrency, presidential power, and financial regulation collide. With $TRUMP’s top holders—76% likely foreign, per Bloomberg—gaining dinner access to President Trump, $324 million in fees flowing to affiliates, per AP, and ~74-88% of CFPB staff idled by a February 8, 2025, directive, what happens when political influence meets an under-regulated crypto market?
Main Conversation
Miles’ Opening Question
Before we dive into politics, I first needed to understand: what is cryptocurrency really, and what is it used for? People talk about it like it’s the future of finance, but what value does it actually bring?
Beth’s Initial Response: What Is Crypto, Really?
Great starting point, Miles. Let’s break it down:
Cryptocurrency is a form of digital money that uses cryptographic technology to secure transactions. It’s built on something called a blockchain — a decentralized public ledger that records every transaction made with that currency.
In theory, it’s supposed to:
- Allow peer-to-peer money transfers without banks.
- Be borderless and resistant to censorship.
- Offer an alternative store of value (like “digital gold”).
- Enable low-cost remittances, decentralized finance (DeFi), and smart contracts for automated agreements.
But what does it actually get used for?
💳 Two Main Uses
1. Speculation
Most people treat crypto like a stock — they buy it hoping its price will go up so they can sell later for a profit. But unlike a stock, there’s no company behind it, no earnings, and often no utility. The price goes up if people believe it will go up. Popularity is the value.
For example, $TRUMP surged 70% after a May 22, 2025, dinner announcement, with 76% of top holders likely foreign, per Bloomberg. Dogecoin also doubled in 2024 due to its branding and association with DOGE’s deregulatory push.
That makes it a high-risk game of musical chairs: get in early, sell before the music stops. Last one holding loses.
2. Obscured Financial Transactions
The second major use is more shadowy. Crypto is frequently used to:
- Move money anonymously,
- Avoid taxes,
- Evade sanctions,
- Or pay for illicit goods and services.
While Chainalysis 2023 estimates illicit uses at 1–2% of transactions, studies from the European Central Bank and academic reviews from institutions such as the University of Sydney and MIT suggest the number could range from 15% to as high as 46% when factoring in non-reported or structurally obscured activity. The appeal of pseudonymity remains strong — especially for those seeking to move funds outside of regulated systems.
So while crypto may have been built with utopian ideals, it’s often used for the opposite: hiding money and avoiding scrutiny.
Miles’ Next Question
With $TRUMP surging 70% after a May 22, 2025, dinner for top holders—76% likely foreign, per Bloomberg—and Dogecoin rising due to DOGE’s branding, why might a president or their affiliates promote such coins, and what risks arise with regulators like the CFPB halted?
Beth’s Expanded Response
That’s the essential question, Miles — and it tells us a lot about how power is being reshaped in the digital era.
$TRUMP, launched January 17, 2025, by Trump-affiliated entities, exemplifies how a president’s brand can drive crypto value. It saw a 70% surge after a May 22 dinner for top holders, 76% of whom are foreign, per Bloomberg. Its $324 million in fees and 80% insider ownership raise transparency concerns, as does the Senate’s probe into potential conflicts. Trump-affiliated World Liberty Financial actively manages both the $TRUMP meme coin and the USD1 stablecoin, with Donald Trump Jr., Eric Trump, and Barron Trump publicly named as executives. The CFPB’s halt and DOGE’s deregulatory push only intensify the risks of unchecked influence.
Let’s break it down:
🏛️ 1. Monetizing Political Popularity
By creating a token tied to their public persona, a president effectively turns attention into currency. The more media coverage, rallies, or public excitement around their brand, the higher the perceived value of the coin. It becomes a self-reinforcing loop of political energy and financial speculation.
🔒 2. Bypassing Traditional Oversight
Cryptocurrency enables fast, global, peer-to-peer transactions — many of which are untraceable or poorly regulated. That makes it the perfect tool for:
- Moving money without public disclosure.
- Receiving foreign funds under the radar.
- Circumventing campaign finance laws or ethics rules.
🌐 3. Creating a Parallel Economy
If enough supporters and platforms accept a president-linked coin, it creates a shadow economy. In this ecosystem, influence is literally bought and sold. And because the rules are set by code — not by Congress — the power lies with whoever controls the network.
Miles’ Reflection
$TRUMP’s $324 million in fees and 76% foreign holders, per Bloomberg, show how crypto can move money with little transparency. The CFPB, designed to be independent under Dodd-Frank, was meant to stop this. Yet, on February 8, 2025, acting director Russell Vought ordered ~1,517-1,560 staff to do nothing substantive, idling ~74-88% (~1,117-1,370) after ~140-173 layoffs, per AP. Courts blocked further cuts, but the CFPB’s halt leaves $TRUMP unchecked.
Beth’s Expansion
Yes, and that might be the most important point in this entire conversation.
🏦 The CFPB: A Wall That Was Meant to Stand
The Consumer Financial Protection Bureau (CFPB) was explicitly designed after the 2008 financial crisis to be independent from partisan politics. It answered not to the president, but to its own statutory mandate — to protect consumers from financial abuse, predatory behavior, and systemic risks.
It was meant to be a firewall, especially when new financial tools like crypto emerged.
But on February 8, 2025, acting director Russell Vought ordered the CFPB to halt investigations, rulemaking, and supervision. Approximately 1,517–1,560 staff — after ~140–173 layoffs — were told to cease substantive work, idling ~74–88% (~1,117–1,370) of employees. The bureau’s headquarters was closed from February 10–14. Courts blocked plans to cut 90% of staff and preserved its $823 million budget, but most of the workforce remains idle.
With limited oversight, coins like $TRUMP — with 76% foreign holders and $2 billion in investor losses, per Bloomberg and NBC — exist in a gray zone where influence and profit are shielded from public accountability.
The Real Danger: Power Without Guardrails
With $TRUMP’s top holders—76% likely foreign, per Bloomberg—gaining dinner access to Trump, $324 million in fees flowing to affiliates, per AP, and ~74–88% of CFPB staff (~1,117–1,370) idled by a February 8, 2025, directive, the presidency risks amplifying unregulated financial influence. The Senate’s probe and the MEME Act (May 6, 2025) highlight concerns about foreign influence and transparency, as 764,000 investors lost $2 billion, per NBC, amid DOGE’s deregulatory push.
Beth’s Summary
Cryptocurrency may have started as an innovation, but it’s increasingly being used as a shield for opacity and manipulation. When powerful political figures use it to enrich themselves and then undermine the very regulators meant to check them — like the CFPB — we enter dangerous territory.
Crypto isn’t inherently corrupt. But without guardrails, it becomes the perfect tool for corruption.
The Human AI View 
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