Bitcoin Layer 2: The New Private Banking System Trump Is Quietly Pushing Forward

For best results when printing this announcement, please click on link below:While Europe plunges into the imposition of Central Bank Digital Currencies(CBDCs), the United States may be moving in the opposite direction. Under apotential Donald Trump administration, Bitcoin Layer 2 could solidify as thefoundation of a new permissionless private banking system, openly challengingtraditional financial control.The interesting part is that Trump is not only doing the right thing, but heis doing it far better than expected. Until recently, his stance on Bitcoinwas ambiguous or negative. However, he now not only acknowledges itsimportance but also seems to be promoting a regulatory environment wherecompanies operating with Bitcoin can achieve a banking-like status. This shiftis not just rhetorical—it is potentially revolutionary.Bitcoin Layer 2 as New Financial InfrastructureThe core function of traditional banking is the consolidation and settlementof transfers between two parties. With the advent of the Lightning Network andother Bitcoin scalability solutions, that function no longer depends on banksbut on a global decentralized network that settles payments instantly withoutintermediaries.If companies built on Bitcoin Layer 2 gain regulatory recognition under Trump,we could witness the birth of a parallel private banking system based onsovereign, incorruptible money. This would eliminate intermediaries and pavethe way for new financial services without the need for traditional bankinglicenses.The Companies Already in the RaceThis possibility is not just theoretical. Companies like Strike, RiverFinancial, and Unchained Capital are already building business models thatchallenge traditional banking. Even Kraken, which obtained a banking charterin Wyoming in 2020, could benefit greatly if a Trump administration furtheropens the doors to this model.There are also precedents like Custodia Bank, which attempted to operate withBitcoin under a traditional banking structure but was blocked by the FederalReserve. If Trump changes the regulations to allow Layer 2 companies to accesslicenses or recognize their status as private banks, the story will be verydifferent.Europe and CBDCs: The Path of State ControlMeanwhile, Europe is moving in the opposite direction with CBDCs, which inpractice mean greater surveillance and control over citizens' money. Aprogrammable digital euro could restrict what people can spend their money on,impose automated negative interest rates, and completely eliminate financialprivacy.The United States could become the counterweight to this model if, underTrump, Bitcoin is allowed to integrate into the financial system without theregulatory hurdles that have kept it on the sidelines. This would not onlyimpact the U.S. but could also set a global precedent.The Risk for Traditional BankingIf Bitcoin Layer 2 consolidates as the new private banking system, major bankswould face an unprecedented disruption. The Federal Reserve and the currentbanking system rely on their monopoly over payments and liquidity. If Bitcoincompanies can offer these services without intermediaries, why continue usingtraditional banks?This could explain why the Biden administration has been aggressive in itsregulation against Bitcoin, while the traditional financial sector has lobbiedto block any innovation that threatens its power. The key question is: WillTrump actually take this revolution to its ultimate consequences?Can the U.S. Lead a New Financial Standard?If Bitcoin Layer 2 is recognized as banking infrastructure under a Trumpadministration, the global impact will be massive. Emerging countries, alreadyseeking alternatives outside the dollar, could turn to Bitcoin as a viableoption.A scenario in which the United States adopts a Bitcoin-based financial modelwhile Europe and China tighten their state control with CBDCs would mark thebeginning of a new global monetary war:* CBDCs and state control in Europe and China * Bitcoin-based banking and financial freedom in the U.S. The competition between these models will determine the future of money.Trump Is Doing Much More Than ExpectedFor many, Trump was a Bitcoin skeptic. However, his stance has evolved to thepoint where he could become the first president to integrate Bitcoin into U.S.economic policy.If he manages to turn Layer 2 into an alternative private bankinginfrastructure, we would be witnessing a paradigm shift far greater thananyone imagined.Europe chooses control. China tightens its surveillance. Trump, surprisingly,might be opening the door to the greatest financial revolution of our era.