Crypto Surges on Trump’s $2K ‘Tariff Dividend’ Proposal
Cryptocurrencies climbed Monday as markets reacted to U.S. President Donald Trump’s proposed $2,000 “tariff dividend” for Americans, funded through import duties.
Announced on Truth Social, the plan sparked renewed risk-on sentiment similar to the pandemic-era stimulus rallies, even as analysts questioned its practicality and potential inflationary effects. Trump wrote, “A dividend of at least $2000 a person (not including high-income people!) will be paid to everyone,” labeling opponents of tariffs as “FOOLS!”
While congressional approval is required, traders treated the announcement as a signal of potential fiscal loosening. Bitcoin (BTC) surged 4.6% to $106,440, Ether (ETH) rose 6.1% to $3,618, XRP jumped 8.5% to $2.48, and Solana (SOL) gained 6.1% to $167.96. Overall crypto market capitalization climbed to about $3.5 trillion, with $113 billion traded in 24 hours.
XRP’s rally coincided with Canary Capital’s third pre-effective S-1 amendment for its proposed XRP ETF (ticker: XRPC), set to hold XRP with Gemini and BitGo.
Even if the tariff dividend never materializes, the announcement has rekindled liquidity-driven optimism, pushing crypto markets higher.
