Binance CEO Richard Teng stated on Tuesday that US President Donald Trump’s tariff policies could increase interest in digital assets.
Crypto leaders see an opportunity to demonstrate the intended use of digital assets as traditional markets express concern over tariff impacts.
Teng’s View on Tariff Impact
In an April 8 X post, Teng explained that while “macro uncertainty” from Trump’s tariffs might cause a short-term “risk-off response,” the long-term effects could benefit crypto.
Teng believes that this situation could potentially increase interest in cryptocurrency as a non-sovereign value store.
Long-term crypto holders consider Bitcoin and other digital assets resilient during economic stress and policy changes, Teng noted.
They acknowledged that trade protectionism causes market volatility, including in crypto.
Market Reaction to Tariff Announcement
Teng’s comments followed Trump’s tariff plan announcement last week.
The plan set a minimum 10% tariff on goods from most countries.
This announcement destabilized global markets and caused unpredictable swings in the US stock market.
Digital assets also experienced volatility; Bitcoin’s value dropped over $10,000 last weekend.
As of Tuesday, Bitcoin’s value was around $77,000, a 2% decrease from April 7.
Trump Defends Tariff Policy
Speaking to reporters on Air Force One Monday, Trump described tariffs as “medicine” needed to “fix” economic issues.
He said other countries have mistreated the US due to “stupid leadership.”
Trump stated they took US businesses, money, and jobs.
Trump has faced backlash for this policy. Pew Research Center data indicates most Americans disapprove of the tariffs.
Crypto Interest in a Tariff Environment
Whether Trump’s tariffs will increase interest in blockchain remains to be seen as trade barriers rise between the US and other nations.
