A Comprehensive Accounting of Trump's Culture of Corruption

New York Times

10 hours ago

At the gala dinner President Trump held last month for those who bought the most Trump cryptocurrency, the champion spender was the entrepreneur Justin Sun, who had put down more than $40 million on $Trump coins. Mr. Sun had a good reason to hope that this investment would pay off. He previously invested $75 million in a different Trump crypto venture — and shortly after the Trump administration took office in January, the Securities and Exchange Commission paused its lawsuit against him on charges of cryptocurrency fraud.
The message seemed obvious enough: People who make Mr. Trump richer regularly receive favorable treatment from the government he runs.
The cryptocurrency industry is perhaps the starkest example of the culture of corruption in his second term. He and his relatives directly benefit from the sale of their cryptocurrency by receiving a cut of the investment. Even if the price of the coins later falls and investors lose money, the Trumps can continue to benefit by receiving a commission on future sales. Forbes magazine estimates that he made about $1 billion in cryptocurrency in the past nine months, about one-sixth of his net worth.
Only a few years ago, Mr. Trump was deeply skeptical of cryptocurrency, calling it 'potentially a disaster waiting to happen' and comparing it to the 'drug trade and other illegal activity.' Since he and his family have become major players in the market, however, his concerns have evidently disappeared. He shut down a Justice Department team that investigated illegal uses of cryptocurrency. He pardoned crypto executives who pleaded guilty to crimes, and his administration dropped federal investigations of crypto companies. He nullified an Internal Revenue Service rule that went after crypto users who didn't pay their taxes.
The self-enrichment of the second Trump administration is different from old-fashioned corruption. There is no evidence that Mr. Trump has received direct bribes, nor is it clear that he has agreed to specific policy changes in exchange for cash. Nonetheless, he is presiding over a culture of corruption. He and his family have created several ways for people to enrich them — and government policy then changes in ways that benefit those who have helped the Trumps profit. Often Mr. Trump does not even try to hide the situation. As the historian Matthew Dallek recently put it, 'Trump is the most brazenly corrupt national politician in modern times, and his openness about it is sui generis.' He is proud of his avarice, wearing it as a sign of success and savvy.
This culture is part of Mr. Trump's larger efforts to weaken American democracy and turn the federal government into an extension of himself. He has pushed the interests of the American people to the side, in favor of his personal interests. His actions reduce an already shaky public faith in government. By using the power of the people for personal gain, he degrades that power for any other purpose. He stains the reputation of the United States, which has long stood out as a place where confidence in the rule of law fosters confidence in the economy and financial markets. This country was not previously known as an executive kleptocracy.
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