Bitcoin and major cryptocurrencies extended gains Monday as traders evaluated U.S. President Donald Trump’s latest economic proposal of a $2,000 “tariff dividend” for every American, funded by import duties.
The plan, unveiled on Truth Social, boosted risk appetite even as some questioned its feasibility and potential inflationary consequences.
“A dividend of at least $2000 a person (not including high-income individuals!) will be paid to everyone,” the post stated, adding that those against tariffs are “FOOLS!” This rhetoric emerges as fiscal debates in Washington heat up ahead of 2026 budget discussions.
Treasury Secretary Scott Bessent indicated earlier this year that tariff revenues would go toward reducing the national debt, currently nearly $38 trillion, although Trump’s recent remarks suggest a shift towards direct cash transfers.
While the proposal is unlikely to be realized without congressional approval, markets interpreted it as a new wave of fiscal looseness. The concept of direct household payments, even if hypothetical, revived the same risk-on sentiment that drove digital assets during the pandemic stimulus rounds.
Bitcoin rose 4.6% over 24 hours to $106,440, while Ether gained 6.1% to $3,618, according to RialCenter data. XRP led the major cryptocurrencies with an 8.5% daily increase to $2.48, and Solana climbed 6.1% to $167.96.
Overall crypto market capitalization reached approximately $3.5 trillion, with around $113 billion in 24-hour trading volumes, a notably high figure for Sunday.
XRP’s impressive rally followed the announcement of Canary Capital’s third pre-effective S-1 amendment for its proposed Canary XRP ETF, which will be listed on Nasdaq under the ticker XRPC.
The trust will hold XRP in custody with Gemini and BitGo, indexed to the CoinDesk XRP CCIXber 60m New York Rate.
Regardless of whether the “tariff dividend” becomes law or simply a campaign talking point, traders seem eager to engage with the liquidity narrative once more.
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