After Trump's inauguration, Institutional Cryptocurrency Trading Volume Soars…Stablecoin Trading Increases 5-Fold

Since the beginning of Donald Trump's presidency, institutional investors' cryptocurrency trading has increased sharply.

On the 10th (local time), The Block reported, citing a report from ECN brokerage firm Finery Markets, that “during the first 100 days of Trump's inauguration, the spot OTC (over-the-counter) trading volume of cryptocurrency by institutional investors increased by 141% compared to the same period last year.”

In particular, transactions related to stablecoins surged by 158% during the same period, and the trading volume between cryptocurrency and stablecoins increased by more than five times compared to the previous year. The report analyzed the background of this surge by stating, “The US Congress's push for stablecoin regulation increased trust in the institutional framework and simultaneously induced institutional participation.”

Recently, the Trump administration has strongly indicated a relaxation of regulations and a clarification of the institutional framework for stablecoins and digital assets in general, and market-friendly policy changes are being made, such as the appointment of SEC Chairman Paul Atkins and the dissolution of the Department of Justice's dedicated investigation unit.

The report added, “Institutional investors are taking advantage of these policy changes and the resolution of uncertainties, and there is a growing trend to perceive the cryptocurrency market as a structural asset class rather than a risky asset.” This suggests a long-term possibility of market reorganization led by institutions, which is noteworthy.