- Peter Schiff claims Trump’s crypto reserve is a pump-and-dump scheme.
- He demands a congressional probe into possible insider trading.
- Critics argue the reserve should focus only on Bitcoin, not altcoins.
- Schiff accuses Eric Trump of admitting to market manipulation.
Economist and well-known crypto critic Peter Schiff has launched a scathing attack on President Donald Trump’s recent announcement of a US Crypto Strategic Reserve. According to Schiff, this move was not about policy but a calculated market manipulation designed to benefit insiders with advance knowledge.
Donald Trump, the first crypto President, just helped pull off the biggest crypto rug pull of all time. A Congressional investigation is now warranted to find out the following regarding this pump and dump scheme.
— Peter Schiff (@PeterSchiff) March 3, 2025
Who authored the two Sunday afternoon posts on the President's…
Trump’s announcement on Sunday included XRP (XRP), Solana (SOL), and Cardano (ADA) as part of the reserve, later adding Bitcoin (BTC) and Ethereum (ETH). The news sparked a rally in crypto prices, reversing weeks of market downturns. However, the gains were short-lived as the market quickly retraced, raising concerns over market manipulation.
Schiff was quick to call it out. “Donald Trump, the first crypto President, just helped pull off the biggest crypto rug pull of all time,” he claimed. He is now demanding a congressional investigation into the timing of the announcement and its impact on investors.
Schiff Demands Investigation into Insider Deals
Schiff isn’t just making accusations—he’s calling for a full-scale audit of crypto trades made before Trump’s announcement. He wants authorities to investigate who knew about the reserve beforehand, how much they invested, and whether they profited from the price surge.
His demands go beyond financial gains. Schiff insists on a review of emails, text messages, and other communications between Trump’s staff, family, campaign donors, and even Truth Social employees. He believes this could reveal a pattern of insider trading and deliberate market manipulation.
I love the genius of announcing a strategic reserve on a Sunday, when traditional markets are closed and Wall Street sleeps. For the first time, retail investors win. Traditional finance better catch up, or it will quickly become extinct. The world no longer runs on a Mon-Friday,… pic.twitter.com/EPtbEisbdI
— Eric Trump (@EricTrump) March 3, 2025
One comment, in particular, caught Schiff’s attention. Eric Trump, the President’s son, made a post celebrating the timing of the announcement:
I love the genius of announcing a strategic reserve on a Sunday, when traditional markets are closed and Wall Street sleeps. For the first time, retail investors win. Traditional finance better catch up, or it will quickly become extinct. The world no longer runs on a Mon-Friday,… pic.twitter.com/EPtbEisbdI
— Eric Trump (@EricTrump) March 3, 2025
“I love the genius of announcing a strategic reserve on a Sunday, when traditional markets are closed and Wall Street sleeps.”
Schiff argues that this post is proof of intentional market manipulation, as Sunday announcements could maximize price impact due to lower trading volume. He accused Eric Trump of admitting to the fraud by implying that the move was designed to favor early investors at the expense of retail traders.
Critics Question Altcoin Inclusion
Schiff is not alone in his criticism. Many in the crypto community have raised concerns over the reserve’s inclusion of altcoins like XRP, SOL, and ADA. They argue that Bitcoin alone should be the backbone of a government-backed reserve, given its dominance and security.
Despite this debate, speculation is growing that more cryptocurrencies could be added in the future. Some potential candidates include Chainlink (LINK), Ondo (ONDO), and Litecoin (LTC).
As the controversy unfolds, the demand for transparency is rising. Whether a congressional investigation follows remains to be seen, but Schiff is determined to push for accountability.
