Trump policies could take DeFi, BTC staking mainstream: Redstone co-founder
Donald Trump’s return to office in 2025 has sparked speculation throughout the crypto industry surrounding how his administration may influence digital finance.
Marcin Kaźmierczak, co-founder and chief operations officer at RedStone, suggested in an interview with Cointelegraph that the new Donald Trump administration “could drastically propel” the expansion of decentralized finance (DeFi).
“Such an administration could champion policies that push DeFi from niche to mainstream, catalyzing an influx of innovation and investment,” he said.
Kaźmierczak also explained that Bitcoin (BTC) price surges “typically” trigger increased DeFi service activity, stating that “as BTC escalates, it doesn’t just climb in isolation; it lifts the entire DeFi sector.”
Related: Arrington Capital-backed RedStone launches Bitcoin staking oracles
Pro-crypto policies for DeFi growth
Kaźmierczak believes the Trump administration could adopt a more crypto-friendly approach to legislation, potentially creating new policies that reduce regulatory barriers while encouraging innovation.
The RedStone co-founder said, “With Trump at the helm, expect a bullish wave across DeFi platforms, potentially rewriting the rules of digi-fi,” remarking on Trump and his team forking Aave and creating World Liberty Financial (WLFI) .
However, the launch of Trump’s WLFI token on Oct. 16 resulted in a significant flop on the day , showing that as of 10:00 am UTC on Oct. 17, only 848.63 million (4.24%) WLFI had been sold.
The result was attributed to limitations on who could purchase the token, the website crashing, people considering it a grift, the inability to transfer the token, and the overcomplicated buying process.
Related: Trump trade over? Bitcoin, Ethereum ETFs see first outflow since election
Can Bitcoin Staking become a new investment standard?
Kaźmierczak also noted that, as BTC price pushes toward $100,000, he believes that BTC staking could rival traditional investments by allowing investors to earn returns on their holdings.
“The psychological impact [...] could open an era where BTC staking becomes as commonplace as stock dividends, attracting a broader spectrum of investors from retail to massive institutional funds.”
The implications of BTC’s potential dual-functionality — becoming a store of value and a source of income, particularly when close to hitting $100,000 — could impact both BTC and DeFi.
Related: Bitcoin ETF options pass 'second hurdle' with CFTC clearance
By increasing BTC’s appeal through staking, long-term holding is incentivized which could result in reduced selling pressure. However, price volatility could still impact this.
Kaźmierczak said that BTC’s “notorious volatility” functions as both “a magnet for traders and a minefield for the market,” creating an unpredictability that can “deter conservative investors and skae the confidence of participants.
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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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