Core Viewpoint - The prediction that former President Trump will integrate the cryptocurrency market into the "Too Big to Fail" financial system by 2026 highlights the growing importance of cryptocurrencies alongside major financial institutions like JPMorgan and Goldman Sachs [1] Group 1: Current State of Cryptocurrency - The collapse of the fraudulent cryptocurrency exchange FTX in 2022 did not prompt intervention from the Biden administration, which maintained skepticism towards cryptocurrencies [1] - The current landscape for cryptocurrencies is markedly different, with Trump's family having deep ties to the industry, and potential losses in major stablecoins threatening the liquidity of the entire U.S. financial market [1][2] - In the year following Trump's potential election victory in 2024, the total market capitalization of digital assets surged by $1.2 trillion, with Bitcoin and Ethereum reaching new historical highs [2] Group 2: Potential Triggers for Intervention - The cryptocurrency market has long-standing potential triggers for intervention, particularly concerning large stablecoins like Tether (USDT), which had a market cap of approximately $180 billion as of late November [3] - A mass withdrawal from Tether could severely impact the entire cryptocurrency market, as many transactions are quoted in USDT, potentially freezing market mechanisms [4] - The collapse of a major cryptocurrency exchange could have catastrophic effects on the ecosystem, as highlighted by the European Systemic Risk Board's report on the risks posed by exchanges like Binance and OKX [5] Group 3: Proposed Rescue Mechanisms - Trump's proposed rescue system for cryptocurrencies would likely mirror the liquidity support provided during the 2023 regional bank crisis, using high-quality assets as collateral [6] - The establishment of a "Strategic Bitcoin Reserve" or "Digital Asset Stockpile" could serve as a safety net for the market, potentially including 200,000 Bitcoins valued at around $18 billion [7] - Political motivations for intervention are strong, as a significant portion of the U.S. adult population holds cryptocurrencies, and the upcoming midterm elections may pressure Trump to address market fears [8]