
HodlX Guest Post Submit Your Post At the beginning of 2025, Donald Trump’s return to power led to a sharp revision of the government’s crypto policy and explosive market movements. The Trump administration declared a pro-crypto stance, from establishing a strategic Bitcoin reserve to softening the Securities and Exchange Commission (SEC) positions. However, instead of a prolonged rally, the Web 3.0 industry faced volatility and liquidity outflows. Why did the market drop despite expectations of support The key question is why the crypto market declined when many believed that a pro-Republican administration would drive growth instead. The effect of unmet expectations According to experts, the market had already priced in the ‘best-case scenario.’ When the anticipated multi-billion-dollar government Bitcoin purchases turned out to be mere verbal commitments with no actual buying, traders rushed to take profits. Essentially, the classic rule of ‘buy the rumor, sell the news’ played out. However, the government fund did not start purchasing BTC , removing a strong hypothetical growth driver and instead triggering a sell-off. Institutional investors used the rally to exit Large funds began selling BTC and ETH futures as early as February 2025, locking in profits from December 2024’s peaks. By March, this trend had intensified. The futures curve flipped into backwardation (futures prices falling below spot prices) – a typical signal of declining capital inflows. The broader macroeconomic landscape triggered the market decline Simultaneously, Trump launched a trade confrontation, announcing 25% tariffs on Mexican imports and 50% on Canadian imports starting in March. This sparked economic concerns – t reasury yields dropped, and the S&P 500 index retreated to post-election lows. Cryptocurrencies – as risk assets – also came under pressure, further intensified by news of a Bybit hack. Analysts note that macroeconomic factors were the primary driver of March’s price decline, overshadowing any positive sentiment from Trump’s actions. As a result, while the new president’s policies were officially more crypto-friendly, they did not immediately bring a liquidity influx. Instead, speculative excitement gave way to a correction phase. Which Web 3.0 projects were affected A hit to funds and liquidity The first weeks of March saw significant capital outflows from the crypto market , impacting funds, exchange-traded products and decentralized finance (DeFi). In the last week of February, investors withdrew a record $2.6 billion from US spot Bitcoin exchange-traded funds (ETFs) – the largest weekly outflow since their inception. This capital flight caused the total cryptocurrency market capitalization to shrink from approximately $3.7 trillion in December to $3.1 trillion by the end of February. The DeFi sector took a blow TVL (total value locked) in DeFi protocols declined by roughly $45 billion over the winter. The growth accumulated after Trump’s election – with TVL reaching $138 billion by December – completely evaporated. By March 10, TVL had fallen to $92.6 billion, returning to early November levels. Crypto hedge funds and arbitrage traders suffered losses Crypto hedge funds and arbitrage traders faced heavy losses as market structure changes disrupted their strategies. First, the popular ‘cash-and-carry’ arbitrage between futures and spot markets disappeared. Previously, funds profited from a positive basis by going long on spot BTC – including through ETFs – while shorting futures, earning returns higher than Treasury yields. However, as the market fell, futures prices dropped below spot prices, collapsing the basis and rendering this arbitrage unprofitable. Funds specializing in altcoins were also hit hard. In early March, an anomaly occurred – Bitcoin initially declined more than most altcoins, causing BTC dominance in total market capitalization to drop by five percentage points within a week. This temporary capital rotation into altcoins – as investors sought higher returns in less liquid assets before a major summit – could have severely impacted funds with poorly calibrated risk models. However, after the summit, altcoins crashed at an even faster rate, pushing BTC’s dominance back to approximately 61%. Investment outflows and capital flow shifts By March, it became clear – c rypto ecosystem capital flows had reversed. Institutional investors and funds were pulling out, falling prices triggered margin liquidations and arbitrage unwinding and retail investors were scared off by high volatility. All of this reduced available funding for Web 3.0 startups. Venture capital investments, already declining in 2024, fell even further in early 2025. Additionally, regulatory uncertainty remains high. While the SEC has eased its crackdown, no concrete new rules have been enacted yet. A stablecoin regulation bill is expected in August, raising concerns about potential strict oversight for DeFi and stablecoin-related projects. This creates a stressful environment for Web 3.0 businesses, requiring founders to take proactive steps to safeguard their projects. What should Web 3.0 founders do right now Given the current landscape, founders should plan for two phases – stabilization and growth. In the stabilization phase, the key priorities are preserving resources, maintaining the team, refining the product and satisfying existing users. Founders must avoid unnecessary risk. Now is not the time for speculative bets or reckless treasury management. Instead, focus on achievable short-term goals – delivering promised features, fixing issues and improving UX. This will help maintain and grow an active user base, attracting investors when they return. During the growth phase, as the market rebounds, scaling ahead of competitors will be crucial. This means having a well-prepared strategy for acquiring users and capital. For example, if you’re running a DeFi protocol, plan a liquidity mining program or partnerships with wallets to capture market share when fresh liquidity arrives. If you’re an infrastructure project, collaborate with corporations that may begin integrating blockchain in 2025 as regulations become clearer. Web 3.0 startups should start thinking like Web 2.0 businesses with a clear business model, strong value proposition and path to profitability. The projects that will thrive are those with real revenue, engaged users and fundamental utility. Founders should honestly evaluate their projects – i f the product doesn’t solve a real problem or lacks product-market fit, it may be time to pivot or merge with other teams before it’s too late. Conversely, if there’s a solid core, doubling down on execution will position the project as a leader when the next cycle begins. Conclusion The current crypto market correction – driven by both Trump’s policies and external factors – differs from past downturns due to the heightened role of institutional players and new structural dynamics such as ETFs and arbitrage. Bitcoin now reacts not just to retail demand but also to moves by major funds and governments, introducing new forms of volatility. However, fundamentally, the Web 3.0 industry is gaining something invaluable – political support at the highest level of the US government – even if driven by questionable motives. This lays the groundwork for long-term growth. Challenging months lie ahead, but the projects that navigate the storm will be at the forefront of the next bull run. Yaroslav Kalynychenko is the head of marketing at Generis Web3 Agency and an expert in promoting crypto, fintech and innovative digital solutions. Check Latest Headlines on HodlX Follow Us on Twitter Facebook Telegram Check out the Latest Industry Announcements Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing. Generated Image: DALLE3 The post Trump to the Rescue? Why the Market Crashed Despite the President’s Crypto Support appeared first on The Daily Hodl .
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U.S. Oversight Committee Urges Review of Potential Conflicts in President Trump’s Bitcoin Reserve Plans

The scrutiny of President Trump’s proposed Bitcoin reserve underscores growing concerns over conflict of interest and market integrity. U.S. Representative Gerald Connolly’s intervention raises pivotal questions regarding governmental oversight in The Daily Hodl

No More Relying on Crypto Mining: 6 Ways to Make Money and Boost Your Return On Investment
The cryptocurrency landscape is undergoing a significant transformation. Bitcoin mining profitability has plummeted due to soaring energy costs and heightened competition, pushing many investors to seek sustainable alternatives. Ethereum’s full transition to PoS has further diminished the appeal of crypto mining, with over $87 billion in assets now locked in staking contracts. Staking crypto is becoming a more innovative and eco-friendly way to earn passive income and increase your ROI with each passing day. Gone are the resource-hungry mining rigs of the past, modern strategies focus on accessibility, security, and higher returns – perfect for new and seasoned investors looking to diversify their portfolios. Staking Crypto to Get Higher Returns One of the leading platforms in this space is OnStaking , a trusted validator with over 735,000 users across 70+ blockchain networks since 2015. The platform’s mission is to provide a secure and easy way to grow your wealth. With a total investment of over $130 million and 250,000 registered users, this platform combines deep blockchain expertise with an automated system to maximize earnings. Here’s a breakdown of some crypto staking rewards on OnStaking, showing daily earnings, referral bonuses, and total returns. These staking plans cater to different investment levels so that you can have flexibility and profitability. Staking Plan Investment Duration Daily Earnings Referral Rewards Total Earnings Stake Free Trial $100 1 day $1.00 $0.00 $1.00 Stake Chainlink $1,800 11 days $21.96 $14.40 $241.56 Stake Solana $95,000 60 days $2,584.00 $2,375.00 $155,040.00 Stake Ethereum $280,000 160 days $10,920.00 $11,480.00 $1,747,200.00 OnStaking: Recommended Staking Plan For newbies, the Free Trial staking ($100 for 1 day) is a great starting point. It offers a risk-free $1.00 daily return so that you can test the platform without committing big money. For those looking to scale up, the Chainlink staking plan ($1,800 for 11 days) is a good middle ground with a total return of $241.56 including a 5% referral bonus – perfect to build momentum. 6 ways to make money and boost your return on investment Staking Crypto for Passive Income No more mining rigs and skyrocketing electricity bills. Staking crypto allows you to lock your assets in a PoS network to validate transactions and earn rewards – all without lifting a finger after setup. OnStaking adds to this with a simple platform where you sign up with an email, username, password, and an optional referral code. Their automated system works 24/7 to make precise trades and offers consistent crypto staking rewards , with a $100 trial bonus you can start risk-free. This beats mining’s complexity with sustainability and ease making it perfect for long-term wealth growth. Leverage Affiliate Programs Why settle for one income stream when you can multiply them? OnStaking’s affiliate program allows you to earn passive income by inviting friends and acquaintances. Once you register, you’ll get a unique referral link to share. When your referrals invest, you get a 5% lifetime commission on their stakes as long as they stake. For example, a friend staking $10,000 in Bitcoin will net you $500 in bonuses. This low effort high return strategy turns your network into a profit machine far outpacing mining’s diminishing returns. Join Bounty Programs OnStaking’s bounty program is a creative way to earn money. By sharing content like a one-minute YouTube video or an X post tagged @OnStaking, you can earn up to $100 per task. You just need to include your referral link and proof of payouts to qualify. Unlike mining’s hardware requirements, this uses your online presence making it a fun and easy way to boost ROI and support the community. Diversify with Multiple Staking Plans Diversification is key in any investment and OnStaking excels here with multiple options. They have plans from $100 to $280,000 across coins like Solana, Cardano, and Avalanche with tailored durations and high returns. You can stake $800 in Dai for 5 days and earn $40 or go big with $95,000 in Solana for a $155,040 return in 60 days. This allows you to match your risk tolerance and goals, sidestepping mining’s one-size-fits-all approach. The team behind the platform ensures reliability, making it one of the best crypto staking platforms. Reinvest Rewards for Compounding Maximize your crypto staking rewards further by reinvesting. OnStaking’s 24-hour profit settlement ensures you can quickly roll your earnings into new stakes and compound your gains. For example, reinvesting $21.96 daily from the Chainlink plan will accelerate your portfolio growth exponentially. Unlike mining’s static output, this strategy adapts to market trends and boosts returns with minimal effort. You can also download their AI-powered app to manage your stakes on the go. Invest with Confidence using Expert Tools OnStaking’s expert-driven platform removes the guesswork of mining. With zero contract risk and crypto staking rewards sent directly to your wallet, you invest with confidence knowing your assets are safe. The team is available 24/7 and has an extensive knowledge base to help you make informed decisions whether you’re staking $200 in POL or $200,000 in XRP. This stability and transparency make OnStaking one of the best crypto staking platforms with lower risks and higher confidence. Conclusion The era of crypto mining is slowly fading and is being replaced by better alternatives like staking crypto. OnStaking leads the pack with its user-friendly tools, diverse staking plans, and unbeatable incentives. Whether you’re starting small or aiming big, these six strategies—powered by one of the best crypto staking platforms—unlock financial growth without the hassle of mining. Sign up today, stake your claim, and watch your investments soar. The Daily Hodl