David Sacks, U.S. President Donald Trump’s “AI and Crypto Czar”, speaks to President Trump as he signs a series of executive orders in the Oval Office of the White House on Jan. 23, 2025 in Washington, DC.
Anna Moneymaker | Getty Images
The Trump-tech alliance is showing its first real sign of distress. And it’s because of crypto.
President Donald Trump counted on crypto execs and investors for a hefty portion of his 2024 campaign funds. He promised to reward them handsomely if elected by slashing regulations and by turning the U.S. into “the crypto capital of the planet and the bitcoin superpower of the world.”
The president got off to a quick start, signing an executive order calling for the establishment of a working group on digital assets and pardoning Silk Road creator Ross Ulbricht. The SEC also dropped its years-long probe into Coinbase.
While those moves were lauded by the most vocal techies who backed Trump’s candidacy, over the weekend the president took it a step too far in their view. In a post on Truth Social on Sunday, Trump announced the creation of a strategic crypto reserve for the U.S. that would include not just bitcoin but several other digital currencies — ether, XRP, Solana’sSOL token and Cardano’s ADA.
For the most part, Trump’s crypto backers all wanted a strategic bitcoin reserve. Such a move would entail using cash to buy bitcoin, which is widely viewed by crypto enthusiasts as a smart way to deploy capital into a decentralized currency that’s an alternative to hard money. As Coinbase CEO Brian Armstrong wrote on X, bitcoin offers a “clear story as successor to gold.”
By going well beyond bitcoin, the critics say, Trump would be using U.S. taxpayer money to buy much riskier assets that have unproven value and have the potential to bolster the net worth of a select few investors who own the coins. That’s all the more problematic to those who want to axe government spending by trillions of dollars, in support of Elon Musk’s cost-cutting mission at the so-called Department of Government Efficiency.
“Taxation is theft,” wrote Joe Lonsdale, founder of venture firm 8VC and a vocal Trump supporter, in a post on X. “It should be kept to a minimum. It’s wrong to steal my money for grift on the left; it’s also wrong to tax me for crypto bro schemes.”
David Sacks, the venture capitalist who was tapped by Trump to be the “White House AI and crypto czar,” took exception to Lonsdale’s comment, suggesting it’s premature to jump to any conclusions. Sacks and Lonsdale are part of the same conservative circle in the tech world, with Musk and Peter Thiel at the center.
“Nobody announced a tax or a spending program,” Sacks wrote, in response to Lonsdale’s post. “Maybe you should wait to find out what’s actually being proposed.”
The White House didn’t respond to a request for comment.
But Lonsdale was far from alone.
Naval Ravikant, a longtime tech investor and early crypto evangelist, wrote after the announcement that, “The US taxpayer should not be exit liquidity for cryptocurrencies that are decentralized in name only.” And Vinny Lingham, creator of blockchain startup Civic and a big crypto influencer, wrote, “Call me old fashioned but I don’t think the government should be pumping our crypto bags with taxpayer money while we are running a near $2trn deficit.”
Agreement across the industry
A major Trump supporter and big name in crypto joined the chorus on Monday. Billionaire bitcoin investor Tyler Winklevoss, who wrote just before the November election that you should vote for Trump “if you care about the future of crypto, free speech, justice, liberty, and democracy,” came out against the president’s crypto reserve plan.
“I have nothing against XRP, SOL, or ADA but I do not think they are suitable for a Strategic Reserve,” Winklevoss wrote. “Only one digital asset in the world right now meets the bar and that digital asset is bitcoin.”
David Marcus, the former head of Facebook’s failed crypto project, suggested that the majority of his peers in the crypto community have the same view.
“Most—if not all—of the non-conflicted industry leaders are agreeing about this,” Marcus wrote, in reposting Winklevoss’ comment.
Marcus, who’s now CEO of payments infrastructure startup Lightspark, declared in July that he was “crossing the Rubicon” and shifting his support to Trump and away from Democrats.
Anthony Pompliano, a loud pro-Trump voice in crypto investing, committed over 1,500 words in his newsletter on Monday to the topic. He says Trump is willing to propose an agenda of buying risky tokens on behalf of the U.S. because the wrong people got to him.
“We watched crypto projects, lobbyists, and special interest groups co-opt the President of the United States,” Pompliano wrote. “They told the President that any crypto-related reserve should hold tokens that were ‘made in America.’ This pitch was the perfect trap for a President who ran on the America First agenda.”
Some of the wrath online was directed specifically at Sacks, who touted and backed various cryptocurrencies as a VC prior to joining the Trump administration, and whose firm, Craft Ventures, is an investor in crypto index fund manager Bitwise.
A cartoon image of US President-elect Donald Trump with cryptocurrency tokens, depicted in front of the White House to mark his inauguration, displayed at a Coinhero store in Hong Kong, China, on Monday, Jan. 20, 2025.
Paul Yeung | Bloomberg | Getty Images
Sacks wrote in a post on X that he sold all of his crypto, including bitcoin, ether and SOL, before taking on his new role and “will provide an update at the end of the ethics process.”
By late afternoon Monday, crypto prices had staged a dramatic reversal from their weekend rally that followed Trump’s announcement. Bitcoin fell about 9%, while ether slid 15%. XRP and SOL dropped even more.
The slide appeared tied to President Trump’s confirmation of forthcoming tariffs, which hammered risky assets across the board and sent the Nasdaq down almost 3% at the close of trading.
There were some voices in crypto who were less willing to publicly slam Trump’s reserve plan.
Michael Saylor, the chairman of Strategy, which has effectively emerged as a bitcoin proxy due to its roughly $43 billion stash, told CNBC on Monday that he wasn’t surprised about Trump’s decision to include additional cryptocurrencies.
“There’s no way to interpret this other than this is bullish for bitcoin and bullish for the entire U.S. crypto industry,” Saylor said. “I believe the best thing for the country is to move forward with an enlightened progressive policy toward digital assets.”
Jonathan Jachym, global head of policy and government relations at Kraken, told CNBC that the crypto exchange is “encouraged to see that announcement” and that it shows the president is “staying true to commitments.”
Even among the skeptics, Trump doesn’t appear to be losing broader support for his agenda just because of this one announcement. Backers like Lonsdale have been quick to post about other matters, complimenting actions taken by Defense Secretary Pete Hegseth and Trump for pressuring Mexican drug cartels.
But coming just six weeks into Trump’s second administration, the reaction shows how quickly the outrage machine can activate when a proposal touches the nerve of a critical group of supporters. The debate adds interest to Trump’s first White House Crypto Summit on Friday, when investors will eagerly be awaiting more details.
As Sacks wrote on March 2, in his first post about the announcement of the strategic reserve, “More to come at the Summit.”
Construction and mining giant Caterpillar has reached a major milestone for its autonomous haulage system (AHS), reaching one million tons (!) of aggregate hauled by the company’s massive self-driving trucks.
The milestone was reached as part of an ongoing collaboration between Cat and Luck Stone’s Bull Run Quarry in Chantilly, Virginia to help demonstrate the worth of Caterpillar’s in-house AHS solution, and goes a long way towards proving to doubters of autonomous technology that AHS has what it takes to safely and dependably operate in a working quarry.
Reaching the one million tons hauled autonomously milestone confirms that autonomous haulage can deliver consistent, repeatable performance. It also signals how autonomous solutions will address skilled labor shortages, improve site safety, increase operational efficiency, and upskill quarry employees to run autonomy.
With the success of the Luck Stone pilot at Bull Run, however, that mining/quarry imbalance may not be the status quo for much longer.
“This milestone is a powerful demonstration of what’s possible when we collaborate with our customers to deliver solutions for their critical needs,” explains Denise Johnson, Caterpillar Group President, Resource Industries. “Reaching one million tons hauled autonomously at Bull Run shows that autonomy isn’t just for mining – it’s scalable, reliable, and ready to transform the aggregates industry. We’re proud to collaborate with Luck Stone to lead that transformation.”
Caterpillar hopes the Bull Run project sets a precedent for the broader aggregates industry, and they continue to explore opportunities to expand autonomy across additional Luck Stone sites and operations.
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The Northwest Seaport Alliance has announced the recipients of its inaugural incentive program for zero emission drayage trucks – and they’ve turned to the logistics experts at Zeem to deploy 19 battery electric semi trucks to serve the Seattle-Tacoma gateway.
The Northwest Seaport Alliance incentive program is funded by a $6.2 million grant from the Washington State Department of Transportation (WSDOT), and will see bring 19 zero emission Class 8 semi trucks (like the Kenworth T680, shown) and their associated charging infrastructure to the Puget Sound region.
“We are thankful to the Northwest Seaport Alliance for helping the region adopt electric trucks, and we invite truck operators to experience how well they are matched to the job of hauling drayage,” says Paul Gioupis, CEO of Zeem Solutions. “We have served truck fleets for several years, and our goal is to make it a compelling business decision for fleets, that is both economically and environmentally sustainable.”
19 trucks, hundreds of charging customers
NWSA announcement event, via Zeem.
In a bid to help make electrification an even more compelling option for PNW truck fleets, the new Zeem facility won’t just serve its fleet of 19 electric semi trucks – the project also includes a charging depot that will be able to serve up to 250 electric vehicles per day, with overnight parking capacity for up to 70 vehicles, including heavy-, medium-, and light-duty vehicles.
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“Nearly 4,000 short-haul trucks serve the ports of Seattle and Tacoma, traveling to nearby distribution centers and warehouses,” reads the official press release. “… operators will be able to switch to electric trucks and charging without the large amount of upfront capital typically needed for heavy-duty EVs and charging infrastructure.”
The charging site will be located near the new I-5 exit ramp just south of SeaTac Airport, along SR-99 (International Blvd./Pacific Hwy.), convenient for nearby warehouse and distribution centers that see a large volume of truck deliveries.
Electrek’s Take
Drayage trucks are typically heavy-duty Class 8 trucks that work short haul routes from ports to warehouses or loading facilities. They frequently travel back and forth along local roadways, meaning they have a high impact on air quality in a given area. And, depending on who you believe, truck emissions represent about 6% of all seaport-related diesel pollution and about 30% of all seaport-related climate pollution in the Puget Sound region – emissions that disproportionately impact communities living near port operations and along freight corridors.
As such: more electric drayage is more good news.
We had a chance to talk to Zeem CEO, Paul Gioupis, as one of our guests on Quick Charge last summer, and a lot of that discussion is still relevant today. Give it a listen (above), then let us know what you think of all this in the comments.
SOURCE | IMAGES: Zeem Solutions.
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The California Senate dropped a controversial provision of an upcoming solar law which would have broken long-standing solar contracts with California homeowners after significant public backlash over the state’s plans to do so.
For several months now, AB 942 has been working its way through the California legislature, with big changes to the way that California treats contracts for residential solar.
The state has long allowed for “net metering,” the concept that if you sell your excess solar power to the grid, it gives you a credit that you can use to draw from the grid when your solar isn’t producing.
Some 2 million homeowners in California signed contracts with 20-year terms when they purchased their solar systems, figuring that the solar panels would pay off their significant investment over the coming decades by allowing them to sell power to the grid that they generated from their rooftops.
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But this has long been a sticking point for the state’s regulated private utilities. They are in the business of selling power, so they tend to have little interest in buying it from the people they’re supposed to be selling it to.
As a result, utilities have consistently tried to get language watering down net metering contracts inserted into bills considered by the CA legislature, and the most recent one was a bit of a doozy.
The most controversial point of AB 942 was that it would break rooftop solar contracts early. At first, it was going to break all existing contracts, then was limited to only break contracts if a homeowner sells their home. The ability to transfer these contracts was key to the buying decision for many homeowners who installed solar, as the ability to generate your own power and lower your electricity bills adds to a home’s value.
This brought anger from several rooftop solar owners and organizations associated with the industry. 100 organizations signed onto an effort to stop blaming consumers who are doing their best to reduce emissions and instead focus on the real causes of higher electricity, which the groups said are associated with high utility spending and profits.
It also resulted in several protests outside CA assemblymembers’ offices, opposing the bill. And California representatives received a high volume of comments opposing the plan to break solar contracts.
But, as of Tuesday, the language which would break rooftop solar contracts has been removed by the CA Senate’s Energy Committee, chaired by Senator Josh Becker, who led the effort. Language which blamed consumers for utility rate-hikes was also removed from the bill, according to the Solar Rights Alliance.
The bill is still not law, it has only moved out of the Energy Committee. But bills that advance through committee in California do not usually meet a significant amount of debate when they come to a floor vote, due to the Democratic supermajority in the state. It seems likely that if this bill advances to a vote, it will pass.
Electrek’s Take
The bill is still not perfect for solar homeowners. It disallows anyone with a yearly electricity bill of under $300 from getting the “California Climate Credit,” which is a refund to state utility customers paid for by California’s carbon fee on polluting industry.
The justification is thin for removing this credit from homeowners who are doing even more for the climate by installing solar… but it turns out that limitation probably won’t affect many customers, because most solar customers will still pay a yearly grid connection tax of around $300/year, and most solar customers still have a small electricity bill anyway at the end of the year.
Now, the question of a grid connection fee is another point of possible contention. This has been referred to as a “tax on the sun” in some jurisdictions, and it does feel like an attempt to nickel-and-dime customers who are contributing to climate reductions and should not be penalized for doing so. However, there is at least some rationality in the concept that they should pay to use infrastructure (but then… isn’t that the point of taxes, to build infrastructure for people to use?).
In short, even if it’s not perfect for every solar homeowner, we can consider this a win, and an example of how, at least with functional governments (unlike the US’ one), the public can and should be able to stop bad laws, or bad portions of laws, with enough public effort.
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