Trump Takes on the Banking Industry by Developing his Own Cryptocurrency Financial Network

by Brian Shilhavy
Editor, Health Impact News

As we end the first quarter of 2025, we are now getting a glimpse of President Donald Trump’s plan for his New World Order beast financial system, which will be based on fully traceable cryptocurrencies.

While the media has been largely detracted by Musk and his DOGE activities that are allegedly saving the U.S. $billions of dollars by cutting government jobs and agencies, it has now been revealed that the Trump administration has actually spent MORE money out of the U.S. Treasury than the Biden administration did last year during the same time frame.

This gives further credence to what Catherine Austin Fitts said a couple of weeks ago, that the Trump administration was NOT reducing spending at all, but just taking that spending out of the Civil Service sector, and transferring those jobs to the private sector instead.

Listen to this 7-minute section from the longer interview you can find here.

Musk claims otherwise, but the Trump administration’s spending is on track to surpass Biden’s

U.S. Treasury is on pace to spend 7.4% more in 2025 than last year

Elon Musk doubled down on his pledge to cut government spending by $1 trillion — an amount that would slash the federal budget deficit in half and, if implemented, put the U.S. much closer to stabilizing the growth of its debt burden relative to the size of the economy.

“Our goal is to reduce the deficit by a trillion dollars,” Musk told Fox News during Thursday evening’s made-for-TV event — adding that he hoped to reduce overall federal spending by 15% solely through “eliminating waste and fraud,” a goal he said “seems really quite achievable.”

He pointed to a number of examples of wasteful spending, including a survey that Musk claimed was done for the Interior Department at a cost of $830 million to collect Americans’ opinions of national parks.

Musk said that the same survey could have been done by another vendor for just $10,000.

DOGE made it particularly challenging to fact check its assertions when it removed federal identification numbers in its website’s source code that could help outsiders identify specifically what grants and contracts the agency is referring to.

That makes it difficult if not impossible to know the vendors the government has contracted with and whether the government is actually saving the amount of money DOGE is asserting that it has.

And there remain claims on the so-called department’s website that are incorrect. The largest savings asserted by DOGE is a canceled $1.9 trillion contract for IT modernization. But the contractor awarded the money told the New York Times last month that the award was actually canceled in November, under President Joe Biden.

The Federal Procurement Data System, a database of federal procurement projects, indicates that no money was ever spent on this grant, despite its authorization of the IRS to spend $1.9 billion over 7 years.

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The Hamilton Project, an economic-policy think tank, tracks federal spending using daily Treasury statements published by the government.

These data show that the federal government had spent $1.893 trillion in 2025 as of March 26, compared with $1.763 trillion as of the same date last year.

In other words, federal spending is on pace to come in 7.4% higher this year than last. (Source.)

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Where is all of that money from the U.S. Treasury going then, after all of these massive “cuts” in government spending under Musk?

Undoubtedly much of that has gone directly to Israel in the form of bombs and other military equipment, as well as in supplying the massive U.S. Navy build-up in the Red Sea to bomb women and children in Yemen. See Trump Starts New War in Middle East by Bombing Yemen Women and Children

The news that shook the banking industry last week, however, was the announcement that President Trump and the Trump family were starting their new financial network with their own new cryptocurrency, to compete with traditional banks.

Of course this is all happening at the same time that Trump and DOGE are attempting to eliminate the very agencies and regulatory groups that oversee banks and are supposed to protect consumers from greedy billionaires in the first place. They are also trying to rush new crypto-friendly laws through Congress.

Trump’s Stablecoin Push Set to Collide With Banks

Crypto regulations moving through Congress caught banks by surprise—then Trump said he would start his own stablecoin, scrambling the talks.

New crypto legislation that could make stablecoins a far bigger part of the financial system is moving rapidly through Congress, putting banks on the defensive even before President Donald Trump jumped into the fray.

Trump said he wanted stablecoin rules to be the first crypto legislation of his administration.

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With banks and crypto companies fighting to influence the rules, the president launched his own stablecoin, effectively threatening to take business away from both industries.

Unlike better-known crypto assets like bitcoin, stablecoins don’t fluctuate in price, they are typically pegged to the dollar.

They are used to store cash, much like a money market fund, and to easily move money across borders. The stablecoin market has soared to $230 billion and is dominated by Tether and Circle, which are worth $145 billion and $60 billion, respectively.

The latest entrant is the Trump family itself: World Liberty Financial, a crypto project started by Trump and his sons, announced last week it is also launching a stablecoin called USD1. That raises the prospect that Trump could pass legislation that would benefit his own venture.

Congress is moving swiftly to advance stablecoin bills. On Wednesday, the House Financial Services Committee is scheduled to vote on whether to move a stablecoin bill to the overall House floor. A similar bill already passed the Senate Banking Committee earlier this month. Trump wants the legislation, which has the support of some Democrats, passed by August.

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Notice the part I bolded above: “Stablecoins are highly connected to the financial system because they are backed by cash and treasuries.”

In other words, they want to buy the U.S. Government debt, and then sell it to YOU, the American public, through their stablecoins.

And what are they going to do with the money you give to them, whether willingly or unwillingly, such as through your 401K and retirement funds, including Social Security?

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This is exactly what Catherine Austin Fitts has been warning about (see video above). Fitts served in government under the Bush Administration and was the Assistant Secretary of Housing and Urban Development under Jack Kemp, who was embroiled in the Franklin cover-up and child sex abuse scandal.

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As was mentioned in the article from The Information that I quoted above, Tether is currently the largest stablecoin in the cryptocurrency market, with a value $145 billion out of the $230 billion stablecoin market.

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Reuter’s published a deep dive into the Trump family’s take over of World Liberty Financial today, and the introduction of their new stablecoin, USD1.

Here are some excerpts from the Reuter’s article (emphasis mine):

Insight: How the Trump family took over a crypto firm as it raised hundreds of millions

As World Liberty Financial raised more than half a billion dollars, President Donald Trump’s family took control of the crypto venture and grabbed the lion’s share of those funds, aided by governance terms that industry experts say favor insiders.

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Overall, the Trump family now has a claim on 75% of net revenues from token sales and 60% from World Liberty operations once the core business gets going. The arrangement means the Trump family is currently entitled to about $400 million in fees.

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David Krause, a longtime finance professor at Marquette University in Milwaukee who recently published a study of World Liberty, said that the structure of the project:

“pretty much excludes public investors or token holders from any meaningful financial participation.”

A White House spokesperson referred questions about World Liberty to the Trump Organization.

The Trump Organization’s chief legal officer and the president’s two older sons, who are executives at the company, did not respond to requests for comment.

The Trump Organization announced in January that the president’s investments, assets and business interests would be held in a trust managed by his children and he would play no role in day-to-day operations or decision-making.

Folkman and Herro did not reply to Reuters questions in person and in writing. In a post on social media platform X on March 14, World Liberty said it:

“is a DeFi project with a tremendous mission to build and democratize a new financial system for the benefit of millions.”

At a conference in February, Herro said the plan was to open crypto investing to everyday Americans such as teachers, dentists and firemen.

The Trump family’s investment in World Liberty ties the personal fortunes of a sitting U.S. president to an asset class that sits at the outer edges of both risk and regulation.

Trump has promised to be the “crypto president,” who will popularize its mainstream use in America.

The Trump family, long rooted in skyscrapers and country clubs, has opened beachheads in crypto, quickly gaining hundreds of millions of dollars.

On Monday, the Trump family deepened its crypto interests, as a company formed with the president’s elder sons, Eric and Donald Trump Jr., took a minority stake in a newly-formed bitcoin producer called American Bitcoin.

Eric Trump will become the chief strategy officer of the new firm, which will focus on mining bitcoin and aims to become publicly listed, the statement said.

The prospect of Trump and his family benefiting from deregulation has drawn criticism from his political opponents and some government ethics experts who say it creates the potential for conflicts of interest and influence peddling.

“You’ve got the guy in charge who is responsible for his own regulation,”

[…]

Folkman and Herro entered Trump circles via the family of New York real estate mogul Steve Witkoff, a longtime Trump friend who is now also his envoy to the Mideast.

The two crypto entrepreneurs had already collaborated on several companies together focused on making money from online ventures.

Their business background includes past instances of dissolution, litigation and unpaid debts, according to corporate records, state filings and U.S. court documents. Early in his career, Folkman offered seminars on how to “date hotter girls.”

Steve Witkoff said he was introduced to the pair by one of his sons, when speaking about how the deal came together on a crypto podcast hosted in September by the Trump family. (Source.)

Steve Witkoff, of course, has been in the news a lot lately, as he is Trump’s envoy to the Middle East and is allegedly trying to broker a ceasefire deal between Hamas and Netanyahu, although Netanyahu is currently facing criminal charges over “qatargate”, which revealed that Netanyahu had been funding Hamas before the October 7, 2023 terrorist attack.

 

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Via https://healthimpactnews.com/2025/trump-takes-on-the-banking-industry-by-developing-his-own-cryptocurrency-financial-network/