Trump’s Tariffs Weren’t Only About Trade. They Were About Bitcoin.

Why Trump’s tariffs may be more about controlling digital assets than international trade. How future administrations may use this framework to regulate crypto. What this means for permissionless payments?

🚨 This article is part of our series on how tariffs and taxation are reshaping digital assets.
Episode 4 of 5 | Read the full series overview: Why Tariffs Need to Happen for Digital Assets.

Customer Objectives

In recent weeks, mainstream media has fixated on President Donald Trump’s tariff policies, portraying them as aggressive maneuvers in traditional trade wars. Headlines have spotlighted physical trade disputes—steel, aluminum, China, NAFTA renegotiations. However, this narrative misses the larger shift happening in financial oversight. The United States moves toward asserting dominance in the digital asset realm, particularly with cryptocurrencies like Bitcoin.

The restructuring of how digital value moves across borders. Trump’s tariffs may have set a precedent, not just for physical goods, but for controlling the movement of Bitcoin, stablecoins, and other digital assets.

While the media dissected the implications of tariffs on steel, aluminum, and other tangible goods, a parallel development was unfolding—one that received comparatively little attention. On March 7, 2025, President Trump signed an executive order establishing a “strategic bitcoin reserve” and a digital asset stockpile for other cryptocurrencies. This initiative aims to legitimize the cryptocurrency sector, attract industry activity to the U.S., and diversify government financial assets.

This move signifies a monumental shift in economic policy, suggesting that the administration’s focus has transitioned from traditional trade conflicts to securing a leadership position in the burgeoning digital economy.

The hidden reason for a US Bitcoin Reserve. 

The establishment of a strategic Bitcoin reserve is not merely a financial maneuver but a calculated assertion of political power in the digital age. By amassing significant cryptocurrency holdings, the U.S. positions itself as a central authority in the global digital asset landscape. This strategy serves multiple purposes:

• it legitimizes cryptocurrencies,
• encourages domestic innovation, and
• places the U.S. at the forefront of financial technology.

Moreover, it sends a clear message to other nations about America’s intent to lead in this domain, potentially influencing global regulatory standards and economic policies.

How Trump’s Tariffs Set the Stage for Digital Asset Regulation.

Traditional tariffs serve two main purposes:

1. Generating government revenue
2. Protecting domestic industries from foreign competition

But what happens when the economy moves from physical goods to digital money? The same principles of taxation and trade policy are now being applied to crypto transactions.

• 1099-DA Forms: The IRS now requires brokers to report digital asset sales and exchanges, linking wallets to U.S. locations.
• SAB 122 & Regulatory Rollbacks: Trump’s SEC appointees helped repeal SAB 121, paving the way for clearer, less restrictive crypto regulations.
• Digital Tariffs as Financial Controls: The U.S. is exploring ways to apply import-style tariffs on crypto transactions entering the domestic economy.

This shift means that digital transactions—once permissionless and borderless—could soon face the same scrutiny as international trade.