Eric Trump Warns Banks Face Extinction Without Crypto in a Decade

Eric Trump, executive vice president of the Trump Organization, has issued a stark warning to traditional banks: adapt to the rise of Bitcoin and cryptocurrencies or risk obsolescence within a decade. Speaking to CNBC’s Dan Murphy in Dubai, Trump criticized the inefficiencies of the current financial system, describing it as slow, costly, and outdated. His comments come as the United Arab Emirates solidifies its position as a global cryptocurrency hub, a development Trump has closely observed during frequent visits to the region for Trump-branded real estate projects.

Trump’s critique centers on the inefficiencies of traditional banking systems, particularly the SWIFT network, which he called an “absolute disaster” for global financial transactions. He argued that decentralized finance offers a superior alternative, enabling faster, cheaper, and more private transactions. As a vocal advocate for digital currencies, Trump has championed blockchain and DeFi platforms, which allow peer-to-peer transactions with minimal or no fees, bypassing the costly intermediaries that banks rely on for revenue. “You can send money wallet to wallet instantaneously, without the expense or variability of banks,” he said, highlighting the appeal of DeFi apps and cryptocurrency platforms.

His comments reflect a broader shift in the financial landscape, where cryptocurrencies are challenging the dominance of traditional institutions. Bitcoin, trading around $95,357 on Tuesday, has seen significant volatility amid global economic uncertainties, including trade tariffs introduced by President Donald Trump. Despite these fluctuations, Eric Trump remains bullish on digital currencies, having predicted at the Bitcoin MENA 2024 conference in Abu Dhabi that Bitcoin could reach $1 million.

A Shift Toward Decentralized Finance

Trump’s embrace of cryptocurrency is also personal. He claimed that the traditional banking system is “weaponized” against everyday Americans, particularly those without substantial wealth or who support his father’s political movement. This perspective, he said, drove him to explore the crypto world. The Trump family has deepened its involvement in the sector, with Eric and his brother Donald Trump Jr. launching a U.S. dollar-backed stablecoin called USD1 through their crypto platform, World Liberty Financial, co-founded with real estate billionaire Steve Witkoff. They also established American Bitcoin, a Bitcoin mining company, in partnership with Hut 8 CEO Asher Genoot. Meanwhile, President Trump and former First Lady Melania Trump have ventured into meme coins, raising ethical concerns about potential conflicts of interest.

The UAE, with its crypto-friendly regulations, has become a magnet for international investors, startups, and industry events, further fueling Trump’s optimism about the region’s role in the global financial future. He praised the pro-business policies of Gulf leaders, a sentiment echoed by the Trump administration, which has cultivated warm ties with the region. President Trump’s upcoming visit to the UAE, Saudi Arabia, and Qatar from May 13 to 16 underscores these relationships, marking the first U.S. presidential trip to the Emirati sheikhdom since 2008.