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Dogecoin mania is back. Will the SEC approve an ETF for Elon Musk’s favorite crypto?

Quartz

qz.com › sec-dogecoin-etf-memecoin-elon-musk-crypto-bitcoin-1851765529

Dogecoin is making headlines once again. The reason? The Securities and Exchange Commission has officially acknowledged Grayscale’s filings for a spot Dogecoin exchange-traded fund (ETF), the Grayscale Dogecoin Trust. This marks the beginning of the SEC’s review process, which could potentially bring the Dogecoin ETF…

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How Progressives Broke the Government

The Atlantic

www.theatlantic.com › ideas › archive › 2025 › 02 › why-nothing-works-marc-dunkelman › 681407

Ed Koch was angry—and perhaps a bit embarrassed. It was the spring of 1986, and his Parks Department had wasted millions of taxpayer dollars trying to rehabilitate Central Park’s Wollman Rink. At the height of the crack epidemic, the ice-skating facility’s closure hardly represented the worst of New York’s problems. But the Parks Department’s ineptitude fed a notion that the city was fundamentally ungovernable. A mayor famous for cheekily asking New Yorkers “How am I doing?” appeared not to be doing very well at all.

The trouble had begun six years earlier, when the happy little attraction near the Plaza Hotel was abruptly closed for repairs. Having constructed the rink during the go-go years following the Second World War, the city then let it decay. To cut costs, the Parks Department started to explore the possibility of replacing its clunky brine-based refrigeration system with Freon, which was purported to cost $20,000 less a year to operate. So, in 1980, city hall ordered the rink shut down, the pipes beneath it torn out, and the whole system uprooted to make way for a $4.9 million replacement that was to take less than three years to complete.

This essay has been adapted from Marc J. Dunkelman’s new book, Why Nothing Works: Who Killed Progress—And How to Bring It Back.

The project quickly went sideways. After ripping up the old system, a contractor installed 22 miles of new pipe for the Freon. But when that initial phase was completed, the department had yet to secure a contractor to pave over the new piping. For more than a year, it was exposed to the elements; flooded by an underground stream; and, according to subsequent investigations, subjected to stray electric currents. When, in 1982, pavers were finally hired, engineers underestimated how much concrete would be required to cover the pipes. Rather than call for more, the pavers diluted the insufficient supply. Then, to protect the delicate piping, they chose not to deploy vibration machines typically used to collapse air pockets in concrete. The result was predictable. When the job was done, the ice on the surface melted. The rink simply didn’t work.

The mayor seemed to have little choice but to order the Parks Department to begin anew. To rip up the piping. To abandon the new technology. To revert to the traditional refrigeration system. That, of course, would require the department not only to close Wollman for another two years but to add another $3 million to the taxpayers’ tab. The whole thing was looking like an unmitigated public-relations disaster until, almost by the grace of God, Koch received an unexpected reprieve: A local developer offered to step in and make things right.

[Read: Privatization is changing America's relationship with its physical stuff]

In an unusual arrangement, Koch cut a deal to pay the developer to take control of the rink project, complete it for a fee, and hand it back to the city. “If it costs less, we’ll pay less,” the mayor explained when some questioned the wisdom of trusting someone outside government to do something that would typically have been handled by a public authority. “If it costs more, he’ll pay.”

Lost in the focus on the city’s incompetence was a more nuanced reality. More than 60 years earlier, the New York state legislature had passed a law designed to prevent mayors (and the machine bosses who controlled them) from throwing municipal construction gigs to politically connected contractors. At the time, progressives in both parties rightly presumed that the state was rife with graft—that construction companies were bribing municipal officials to secure contracts at inflated prices. Wicks Law had aimed to solve the problem by requiring cities to hire, separately, the lowest-bidding general construction, plumbing, electrical, heating, and ventilation contractors on any municipal project slated to cost more than $50,000. Mayors were prohibited from hiring general contractors. As a result, Ed Koch’s Parks Department was legally prohibited from hiring a single firm to deliver a project on time and on budget.

Fortunately for Koch, his collaboration with the outside developer was a huge success. The project cost less than the original estimate—$750,000 less—and the rink opened ahead of the holiday season. But from a public-relations perspective, the developer’s success just seemed to highlight city hall’s incompetence. The Parks Department, as columnists and reporters liked to remind the public, had wasted six years and $13 million on a project the private sector managed to complete in six months and at roughly a sixth of the cost. Asked about the lesson learned from the whole episode, the developer responded: “I guess it says a lot about the city.” The government was fundamentally incompetent. The municipal bureaucracy was a nightmare. Even liberal New Yorkers, many of whom reviled President Ronald Reagan, would have been tempted to nod along to his famous quip that “the nine most terrifying words in the English language are ‘I’m from the government, and I’m here to help.’”

Not long thereafter, a reporter traipsed over to Central Park to interview members of the public. A local man enjoying a skate was asked his impressions of the rigmarole. “Anybody who can get anything done right and done on time in New York is a bona fide hero,” the skater replied. And it’s probably safe to say the developer would have agreed. His name, as it happens, was Donald Trump.

Roughly a century before the fiasco in Central Park, the Progressive movement was launched to address the same perception of government incompetence. City halls around the country, caught in the grip of rapacious political machines, simply couldn’t get things done—mayors and governors couldn’t build sewer and water lines, couldn’t maintain parks and school systems, couldn’t manage the nation’s messy transition from farm to factory. Progressivism emerged to stand up a system that would work. But the reformers drawn into the movement were torn between two ideas about how to turn things around. Some, adopting a perspective that would come to be associated with Supreme Court Justice Louis Brandeis, believed that the key was returning power to the individuals and small businesses that had defined 19th-century life. Others, many of whom would align themselves with Theodore Roosevelt, took the opposite view, having grown convinced that imbuing bigger, more robust bureaucracies with new power—public-service commissions and public authorities, for example—was the only realistic way to overcome the power wielded by the political hacks and charlatans then dominating American life.

The tension between these two ideas—Brandeis’s Jeffersonian impulse to push power down and Roosevelt’s Hamiltonian impulse to push it up—became the most consequential divide within Progressivism. Faced with the pernicious influence of monopolistic corporations, for example, the two camps were at odds over whether to prioritize efforts to break up trusts, thereby enabling competition from below, or to subject corporate behemoths to more stringent regulation from above. The Jeffersonians scored a handful of major victories before the First World War, including breaking up monopolies such as Standard Oil. But in the decades that followed, Progressivism’s Hamiltonian impulse came to predominate, advancing the notion that big, powerful government was the key to doing big, important things. The New Deal was defined by an alphabet soup of robust bureaucracies empowered to wield enormous authority—the Social Security Administration, the Securities and Exchange Commission, and the Tennessee Valley Authority among them. And while the Jeffersonian impulse did not fade entirely—Wicks Law was passed in the 1920s—the Progressive project largely sought to empower what many would come to call the “establishment.”

[From the March 1940 issue: America can build]

Then, in the shadow of Lyndon B. Johnson’s Great Society, the teeter-totter tipped back across its fulcrum. The upheavals of the 1960s and early 1970s—the civil-rights movement, Vietnam, the counterculture, an environmental reawakening, second-wave feminism, Watergate—soured reformers on the very establishment they’d helped erect. Rather than empower centralized institutions, they would now endeavor to rein them in, placing guardrails around various power brokers and giving voice to the ordinary people the establishment ignored. The movement became culturally averse to power. Over the past half century, that Jeffersonian impulse to check authority—to return influence to the meek among us—has become progressivism’s abiding priority. And rarely do those inside the movement register that, entirely apart from the influence of conservatism, these two warring impulses cut in separate directions.

The saga at Wollman Rink encapsulates the underlying dynamic. Wicks Law had been passed with good intentions—a Jeffersonian check on municipal corruption. Mayor Koch had wanted the Parks Department to restore the rink for good reason—here was a Hamiltonian bureaucracy endeavoring to serve the public. Combined, however, progressivism’s two impulses served to render government incompetent. And the resulting gridlock wasn’t just a black eye for public institutions. It cleaved an opening for a figure like Trump.

Over the past half century, progressivism’s cultural aversion to power has turned the Democratic Party—purportedly the “party of government”—into an institution that almost instinctively seeks to cut government down. Progressives are so fearful of establishment abuse that reformers tend to prefer to tighten rather than loosen their grip on authority. The movement discounts whatever good the government might do in service of ensuring that it won’t do bad. And that’s driven well-intentioned reformers to insert so many checks into the system that government has been rendered incompetent.

Conservatism, of course, hasn’t been helpful in making government more effective. But for progressives, that reality can quickly become a distraction. They can’t control the MAGA agenda—but they can offer a more palatable alternative. If the progressive agenda is going to have a chance—if government is going to be given the leash required to combat inequality, to solve poverty, and to fight prejudice—progressives will first need to convince voters that government is capable of delivering on its promises. At present, progressives are too inclined to cut public authority off at the knees. And that’s why they so often feel like they can’t win for losing. Their cultural aversion to power renders government incompetent, and incompetent government undermines progressivism’s political appeal.

America can’t build housing. We can’t deploy high-speed rail. We’re struggling to harness the promise of clean energy. And because government has failed in all these realms—because confidence in public authority has waned through the years—progressives have found it difficult to make a case for themselves.

Nothing seems to work. And for all the efforts Democrats make to invest in the future—the bipartisan infrastructure law, the Inflation Reduction Act—progress too often remains a version of Charlie Brown’s football. Reformers tout an achievement, but then a housing plan is abandoned after local opposition, a high-speed rail line is shelved for exorbitant costs, or an offshore wind farm is blocked by local fishermen. Often enough, both sides in any given debate—those who want to change things and those who fear that change will be destructive—are well intentioned. But the movement’s inability to resolve its conflicting impulses has turned progressive policy making into what drag racers call “warming the tires.” A driver steps on the brake and the accelerator at the same time. The wheels spin. The tires screech. But the car remains in place.

The political effect of the ensuing paralysis has been profound. In the early 1960s, nearly four in five Americans professed trust in Washington to “do what’s right.” By 2022, that figure had fallen to one in five. Progressives have been arguing for decades that power can’t be trusted—that government is captured by moneyed interests; that it lines the pockets of the powerful few; that it is a tool of white supremacists, xenophobes, sexists, and worse. No one can deny that centralized power can be used for ill. But even given that reality, attacking government turns out to be, for progressives, a ham-handed way of convincing ordinary people that government should be empowered to do more to pursue the public interest.

Ordinary people who experience the morass of inept bureaucracy will, like the New Yorkers frustrated with Mayor Koch’s inability to restore Wollman Rink, be tempted to turn to someone with the individual moxie to get the job done. That was Donald Trump’s appeal in the mid-1980s, and he employs the same basic rationale as an iconoclastic politician on the national stage. But it’s not just that unrepentant Jeffersonianism doesn’t work. Ordinary people aren’t monolithically averse to power. They don’t want public authority abused, but they know that progress is impossible without leadership. And insofar as the subtext of contemporary progressive ideology is that anyone wielding power is in the wrong, the movement alienates itself from voters who might otherwise support its agenda.

This is the crux of the political argument for rebalancing progressivism’s Hamiltonian and Jeffersonian impulses. The movement supports growing government so that it can take a stronger hand in protecting the vulnerable. But then progressives excoriate government as a captured tool of the patriarchy. Those of us who style ourselves progressive typically gloss over that tension for a simple reason: It’s awkward and confusing. Most progressives want to both empower government to combat climate change and curtail government’s authority over a woman’s right to choose. And squaring that circle is more intellectually difficult than standing strong against Trumpism, or calling out conservative bigotry, or attacking the figures eager to steer the country toward fascism. There’s no storming the barricades in support of a healthy balance between contradictory impulses. And so progressives typically retreat into reflexive anti-conservatism.

Criticizing your adversaries is not, in and of itself, a terrible political strategy. When the other side supports unpopular ideas—separating children from their parents at the border, limiting women’s bodily autonomy, stripping away environmental protections, cutting Social Security and Medicare—there’s little downside to drawing the public’s attention to its agenda. But for progressives, there’s danger in that appeal. A movement consumed by exasperation over how so many people could have voted for Trump, or supported his agenda, or excused his conduct after losing in 2020, will be less inclined to correct its own errors. If progressives put making government work not on the periphery of the movement’s agenda but at its center, voters might be less vulnerable to the sirens of the populist right.

[Read: The perception gap that explains American politics]

There is, of course, an authentic and powerful reason for progressives to worry about making government hum. A government that operates expeditiously—a public authority with fewer guardrails—will inevitably be used not only to serve progressive desires but to pursue conservative ends as well. Any change that would have made it easier for the Obama administration to identify well-intentioned “shovel ready” projects in 2009 and 2010, or for clean-energy companies to build transmission lines through Arkansas and Maine, or for developers to build affordable housing in New York and California, might well have opened the door for someone else to build a legion of coal-fired power plants or gentrify minority neighborhoods.

But that’s a risk progressives today need to take, a bargain they need to accept. A government too hamstrung to serve the public good will fuel future waves of conservative populism. Voters are drawn to figures like Donald Trump not because public authority is too pervasive, but because government can’t deliver. His refrain that the “deep state” has sold the ordinary citizen out—that insiders are constantly making “bad deals” on the nation’s behalf—lands, in no small part, because voters have witnessed the incompetence. Lionizing government and then ensuring that it fails is a terrible political strategy. The movement needs to change course not only because it’s bad policy, but because it’s bad politics as well.

That, in the end, is the best argument for full-circle progressivism. The Jeffersonian retrenchment, now more than 50 years old, has run its course. Today, the core obstacle to progressivism’s substantive success—to greater economic equality and prosperity, to more social justice and responsibility, to a more robust response to climate change, to more housing, to greater mobility—isn’t centralized power. It’s the absence of centralized power. Populism takes hold not when democracy works well, but rather when it doesn’t deliver. No amount of righteous sanctimony can substitute for the political benefits of making public authority serve the public interest. That should be the progressive movement’s north star.

This essay has been adapted from Marc J Dunkelman’s new book, Why Nothing Works: Who Killed Progress--And How to Bring It Back.

The Problem With $TRUMP

The Atlantic

www.theatlantic.com › ideas › archive › 2025 › 01 › trump-meme-coin › 681452

On Inauguration Day, many felt real euphoria at the prospect of a wholesale renovation of America’s institutions. And, as I’ve argued often, our constitutional democracy does need renovation—the various elites are disconnected from the people, bureaucracy afflicts everyone, and many of us find it impossible to hold our elected officials accountable. Yet I fear that the renovations we’re about to get will take us in the wrong direction.

Americans have been yielding sovereignty to tech magnates and their money for years. The milestones are sometimes startling, even if one has long been aware of where things are heading. I was astonished and alarmed when I learned, in the summer of 2023, that Elon Musk had, within a span of five years, built an orbital network comprising more than half of the world’s active satellites. His share has now risen to more than 60 percent. Already in 2023, he controlled battlefield communications infrastructure used in the war between Ukraine and Russia. Musk is currently the head of Donald Trump’s new Department of Government Efficiency, known as DOGE, which is taking over the U.S. Digital Service. At the same time, he may be making a bid for TikTok’s American platform. Ownership of TikTok brings immense power. In December, the Romanian elections were canceled in the middle of voting because of fears that propaganda from Russia, by means of TikTok, was driving the election results.

Musk is well on his way to controlling the world’s communications infrastructure. This is not by accident. He swims in an intellectual universe, alongside his PayPal associates Peter Thiel (who funded J. D. Vance’s Senate campaign) and David Sacks (now Trump’s AI and crypto czar), whose writers advocate for replacing democratic leadership with a CEO-monarch, and argue that higher-IQ “sovereign individuals” should rule over people with lower IQs. Musk, Sacks, and Thiel all spent formative boyhood years in South Africa. As the historian Jill Lepore noted in The New Yorker, Musk’s grandfather took the family to South Africa for the sake of apartheid, having left Canada after being jailed for his leadership activities in the Technocracy movement, “whose proponents believed that scientists and engineers, rather than the people, should rule.” Thiel has made “freedom” his life’s pursuit. Since 2009, he has argued that freedom is incompatible with democracy, and that “the fate of our world may depend on the effort of a single person who builds or propagates the machinery of freedom that makes the world safe for capitalism.”

[Brooke Harrington: The broligarchs are trying to have their way]

Two original MAGA leaders, Steve Bannon and Laura Loomer, have railed against this “techno-feudalism.” That is what they see Musk and his allies trying to bring about, whether in collaboration with Trump or by using him as their puppet. For the first time ever, I find myself agreeing with Bannon and Loomer.

The whole situation went from concerning to surreal when, two days before his inauguration, Trump issued a meme crypto coin, known as $TRUMP. A memecoin is a form of cryptocurrency that has no value-creating function in the crypto ecosystem. Instead, it references some popular phenomenon and gains its value only because of people’s interest in that popular phenomenon. Typically, memecoins also lack the security that could render them a stable part of the crypto financial infrastructure.

The fully diluted value (or market cap when the full supply is circulating) of  $TRUMP, 80 percent of which is owned by entities that the Trump family controls, shot up within 24 hours of its release to more than $70 billion. It is now bouncing around between $20 billion and $30 billion—meaning the president now holds something like 75 to 80 percent of his wealth in crypto. That goes well beyond monetizing the Trump brand through T-shirts, gold sneakers, and steaks. This time, Trump has auctioned himself. Leaving aside the technical substrate, there is arguably little difference between $TRUMP and the president posting a deposit-only Swiss-bank-account number online, into which people can deposit funds and privately show him the receipts for their deposits. His personal wealth now depends on these depositors. He has turned himself—and therefore his office—into a for-profit joint-share stock corporation. People with $TRUMP in their crypto wallets are the shareholders.

[Read: The crypto world is already mad at Trump]

Who knows if the president intended this outcome, but leaders in the crypto space have long hoped for the replacement of nation-states with “network states” encompassing communities that come together on the blockchain. They are celebrating $TRUMP as the first crypto community to have gained control of a nation-state’s powers by capturing the president’s attention through control of his digital wallet. If what Trump has done is upheld as legal or becomes a norm, other global leaders have every incentive to do what he did, turning democratic governance into corporate governance. Melania Trump, for one, has already followed suit; her coin was issued a few days after Trump’s.

Last week, the DOGE homepage displayed the icon for Dogecoin, which Musk has declared to be his favorite coin, and which he holds. (He has faced litigation as a result of accusations that he sought to pump it up; the lawsuit was dismissed.) The icon appeared in vibrant color against a black background. It was removed within 24 hours.

Two features of the $TRUMP memecoin are especially troubling. First, there is the question of who owns the coin. Initial activity for sales of $TRUMP—and, therefore, its financial backing—came from buyers on the platforms Gate and Binance, which are restricted in the United States. Although it will take years of analysis to determine who the eventual beneficial owners are, the reliance on Gate and Binance suggests that early uptake occurred abroad, and particularly in markets controlled by U.S. adversaries—China, Iran, North Korea, Russia. As of 2023, according to a Wall Street Journal report, U.S. trading volume on Binance was very low. Users in China provided Binance with its greatest market share, at 20 percent of trading volume, and about 10 percent of Chinese customers were at the time identified as “politically exposed persons”—that is, according to the Journal report, “government officials, their relatives or close associates who require greater scrutiny due to their greater risk of involvement in bribery, corruption or money laundering.” Because memecoins depend on a collective belief in their value, investors (other than the issuer) who buy the coins are the people who hold up that value. Those early movers on the Gate and Binance platforms can be meaningfully understood to have handed Trump billions, at least on paper. (Steve Gregory, the Gate CEO, was invited to the inauguration.) They also hold power over that wealth. If they withdraw confidence and dump their assets, the value of the coin would trend toward zero. So Trump now appears to owe most of his new wealth to crypto investors in adversary states who are quite possibly closely connected to governments themselves—investors whom the rest of us are not able to identify, but who can identify themselves to him by proudly waving their $TRUMP-filled digital wallets.

[Read: Hawk Tuah wasn’t what it seemed]

Second, there is the question of what it means to convert political office into something that is subject not merely to the general pressure of financial influence but to the power of shareholders over an officeholder’s immediate personal wealth. This is of course why other presidents and senior executive-branch officials have sold off their investments or placed them in blind trusts for the duration of their terms. The neo-reactionary voices in the tech space—the NRx crowd, as they call themselves—have for some time wanted to take the powers of governance over territory out of the hands of nation-states and place them into the hands of platform-based collectives committed to capitalism first and foremost. For years we’ve watched the problem of money in politics get worse and worse, but the Trump coin takes the matter to another level. It provides the technical means for enabling the vision of total capture of governance institutions by tech communities.

What speculative futures are now possible? The president could easily organize a one-token, one-vote referendum—as many coins and decentralized autonomous organizations, which are built out of blockchain communities, already do—among asset holders on major U.S. public-policy issues. Think of it as a corporation giving shareholders their one vote per share. Yes, a corporation has to please its customers—in this analogy, American voters—but it really needs to please the shareholders who help sustain the share price. If $TRUMP were to introduce a voting mechanism for asset holders in this way, it would immediately implement the long-held anarcho-capitalist dream of converting global governance regimes into for-profit joint-stock corporations—minus any Securities and Exchange Commission disclosure requirements, which the president has hinted about relaxing. If other leaders do what Trump has done, then we would see global governance structures generally privatized—and political leaders provided with great incentives to collude with the common interest of capital holders, rather than governing for a true cross-class common good.

Where would that leave voters? In a position somewhat akin to fans at WWE wrestling matches. Politicians, all beholden to a community of shareholders separate from their voters, would collude in steering toward benefits for those shareholders, while pretending to fight one another in public. Imagining such a possibility would seem crazy if people in the tech world hadn’t been writing so much about just this kind of governance structure—and if the technical pieces weren’t now all falling neatly into place.

Trump promised back in 2016 to “drain the swamp,” and he was correct, as I’ve written before, about the need to restore experts to their rightful place as servants of the people rather than quasi-autonomous technocrats who order the world as they think best. But instead of draining the swamp, Trump appears simply to be importing even larger crocodiles from Silicon Valley: multimillionaires and billionaires who mostly couldn’t give a fig for self-government of, by, and for the people. The man who vowed to slay the old “deep state” appears ready to accept a new, more totally controlling, one.

[Read: The Trump sons really love crypto]

Speaking recently on NPR, Bannon used the term techno-feudalism again and went on to explain: “These oligarchs in Silicon Valley, they have a very different view of how people should govern themselves … They don’t believe in the underlying tenets of self-governance.” This seems right. In his inaugural address, Trump echoed Lincoln, promising a new birth of freedom, but just a few rows behind him, among other tech luminaries, was Musk, nearly levitating with joy when Trump promised territorial expansion both on this planet and in space and cheered for DOGE—Musk’s agency and his favorite memecoin.

The principles of popular sovereignty were hard-won—principles that vest the ownership of government in we, the people, not they, the owners of memecoins. When early Americans before, during, and after the Revolution sought to make self-government durable, they circulated pamphlets that articulated the values and tools necessary for successful self-governance. The renovations we need will similarly depend on real understanding of self-government. I’ve been a civic educator my whole life, but now I see an even more urgent need to pick up the pace at which we spread the Declaration of Independence, the Constitution, and The Federalist Papers, as well as works that have updated those texts, to sharpen our collective understanding of what popular sovereignty requires.

After the British government first allowed the East India Company, traffickers in tea, to rule India, and then fell into a full fiscal entanglement with the company, Americans dumped the company’s tea in Boston Harbor. Maybe it’s time to dump Dogecoin.

SEC chair and crypto critic Gary Gensler resigns as Trump takes office

Quartz

qz.com › sec-chair-gary-gensler-resigns-crypto-critic-trump-1851742171

Securities and Exchange Commission (SEC) Chair Gary Gensler officially resigned from his post on Monday as Donald Trump was sworn in as president of the United States.

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The Tech Oligarchy Arrives

The Atlantic

www.theatlantic.com › politics › archive › 2025 › 01 › tech-zuckerberg-trump-inauguration-oligarchy › 681381

On the day of Donald Trump’s 2017 inauguration, a group of his top billionaire donors, including the casino magnate Miriam Adelson and the future Republican National Committee finance chair Todd Ricketts, hosted a small private party, away from the publicly advertised inaugural balls.

It was the sort of event that carried no interest at the time for the Facebook founder Mark Zuckerberg. He greeted Trump’s first presidency by publicly identifying his wife’s parents and his own ancestors with the immigrants targeted by Trump’s early executive orders. “These issues are personal for me,” Zuckerberg wrote in a public letter of concern a week after Trump took office.

But this month, as the same donors made plans for Trump’s second inauguration, Zuckerberg successfully maneuvered to become a co-host of their black-tie event, scheduled for tonight. The party quickly became one of the most sought-after gatherings of the weekend, overwhelming organizers with RSVPs from people who had not received invitations.

Even more striking: Zuckerberg sat in front of Trump’s incoming Cabinet in the Capitol Rotunda at his inauguration—at the personal invitation of Trump himself, according to two people briefed on the plans who, like some other sources interviewed for this story, requested anonymity to describe private conversations. (A spokesperson for Meta declined to comment.)

[Charlie Warzel: We’re all trying to find the guy who did this]

Zuckerberg was not alone. Trump’s inauguration events featured a Silicon Valley smorgasbord, with leaders from Apple, Google, and TikTok in attendance, as well as Amazon’s Jeff Bezos and Tesla’s Elon Musk. Several of the tech moguls also joined a small prayer service this morning at St. John’s Episcopal Church. Later, they blended in with the Trump clan directly behind the incoming president as he officially assumed power just after noon, like honorary family members.

The scene announced a remarkable new dynamic in Washington: Far more so than in his first term, the ultra-wealthy—and tech billionaires in particular—are embracing Trump. And the new president is happy to entertain their courtship, setting up the possibility that Trump’s second turn in the White House could be shaped by person-to-person transactions with business and tech executives—a new kind of American oligarchy.

Eight years ago, Trump landed in Washington in a fit of defiance, denouncing in his inaugural address “the American carnage” wrought by “a small group in our nation’s capital.” Four years later, he left as an outcast, judged responsible for the U.S. Capitol riot and a haphazard attempt to undo the constitutional order. He returns this week with a clean sweep of swing states and the national popular vote, the loyal support of Republicans in Congress, and the financial backing of corporate donors who are expected to help the inaugural committee raise twice what it did in 2017. Organizers of the Women’s March, which stomped on Trump’s 2017 inauguration by sending hundreds of thousands of protesters to the streets, settled for a series of unremarkable Saturday gatherings. The Democratic opposition, which treated Trump’s first term as an existential threat, now lacks an evident strategy or leader.

Like nearly every entity that has tried and failed to bend Trump to its will—his party, his former rivals, his partners in Congress, and his former aides among them—the tech elites largely seem to have decided that they’re better off seeking Trump’s favor.

[Read: ‘If there’s one person who keeps their word, it’s Donald Trump’]   

Just months ago, Trump released a coffee-table photo book that included a pointed rant about Zuckerberg’s $420 million donation in 2020 to fund local election offices during the coronavirus pandemic, an undertaking that Trump called “a true PLOT AGAINST THE PRESIDENT.” “We are watching him closely,” Trump wrote of Zuckerberg, “and if he does anything illegal this time he will spend the rest of his life in prison.”

But since Trump’s victory, Zuckerberg has worked to get himself in the new president’s good graces. The Meta CEO traveled to Mar-a-Lago; added a Trump pal to his corporate board; extolled the importance of “masculine energy” on Joe Rogan’s podcast; abandoned the Meta fact-checking program, which MAGA world had viewed as biased; and personally worked with Trump to try to resolve a 2021 civil lawsuit over Facebook’s decision to ban him from the platform, a case that legal experts once considered frivolous.

Bezos, meanwhile, worried aloud in 2016 that Trump’s behavior “erodes our democracy around the edges” and spent his first term taking fire from the president for the aggressive reporting of The Washington Post, the newspaper that Bezos owns (and where, until recently, we both were reporters). Now Amazon, like Meta, has given $1 million to the 2025 inaugural committee, and the company recently announced it would release a documentary about, and produced by, the first lady, Melania Trump. Even Musk, who spent more than $250 million last year to elect Trump and now is one of his top advisers, called for the aging Trump to “sail into the sunset” as recently as 2022.

“In the first term, everybody was fighting me,” Trump marveled at a mid-December news conference. “In this term, everybody wants to be my friend.”

The sheer quantity of money flowing to, and surrounding, Trump has increased. In his first term, he assembled the wealthiest Cabinet in history; this time, his would-be Cabinet includes more than a dozen billionaires. Sixteen of his appointees come not just from the top one percent, but from the top one-ten-thousandth percent, according to the Public Citizen, a nonprofit consumer-advocacy organization. Democrats, too, have long kept their wealthiest donors close, inviting them in on policy discussions and providing special access, but never before have the nation’s wealthiest played such a central role in the formation of a new administration.

As recently as last week, before the inauguration proceedings were moved indoors because of cold weather, a donor adviser got a last-minute offer of $500,000 for four tickets, according to the person who fielded the call and had to gently decline the request. Trump’s 2017 committee raised $107 million, more than twice the 2013 record set by Barack Obama, and spent $104 million. So far this year, the 2025 inaugural committee is expected to raise at least $225 million and spend less than $75 million on the inaugural festivities, according to a person familiar with the plans. At least some of the unspent tens of millions could go to Trump’s presidential library, several people involved with fundraising told us.  

Trump’s first inauguration had all the markings of a hastily arranged bachelor party put on someone else’s credit card. Trump’s company and the 2017 inaugural committee ultimately paid $750,000 to the District of Columbia to settle claims of illegal payments, including allegations of inflated charges to a Washington hotel then owned by Trump. (Neither entity admitted wrongdoing.) This time, the inauguration organizers have been more disciplined, and donors have been eager to reward Trump’s victory.  

“People were prepared, so when he did win, Trump was looking for checks,” a person involved in all of the Trump campaigns and both inaugural events told us. “Once Elon got in there, that was kind of the holy water that allowed all the other tech guys to follow. They all followed each other like cattle.”

What wealthy donors could get in return for their support of Trump remains an open question. Zuckerberg’s, Bezos’s, and Musk’s federal business interests include rocket-ship and cloud-computing contracts, a federal investigation of Tesla’s auto-driving technology, a pending Federal Trade Commission lawsuit against Meta, and a separate antitrust case against Amazon. Just last week, the Securities and Exchange Commission sued Musk for allegedly failing to disclose his early stake in Twitter, the social-media giant he later took over and renamed X. (A lawyer for Musk has said he did “nothing wrong.”) When Trump promised in his inaugural address to “plant the Stars and Stripes on the planet Mars,” the cameras panned to Musk, whose SpaceX is racing Bezos’s Blue Origin; Musk raised both thumbs and mouthed “Yeah!” as he broke into an ebullient grin.

[Read: He’s no Elon Musk]

Existing federal ethics rules were not designed to address the possibility of the world’s wealthiest people padding the pockets of the first family through television rights or legal settlements. The Trump family’s recently announced cryptocurrency, $TRUMP, creates yet another way for the wealthy to invest directly in an asset to benefit the commander in chief. “There is no enforcement mechanism against the president under these laws,” Trevor Potter, a former general counsel for the late Arizona Senator John McCain’s campaign, told us.

Even as Silicon Valley elites try to ingratiate themselves with the incoming president, some of Trump’s populist supporters are murmuring that the emerging tech oligarchy is diluting the purity of the MAGA base. Steve Bannon, a former adviser to Trump who has clashed in recent weeks with Musk over immigration policy, has fashioned himself as the field general for a fight against the tech bros and their outsize influence on a president eager to cut deals.

“He’s got them on display as ‘I kicked their ass.’ I’m stunned that these nerds don’t get anything to be up there,” Bannon told us last week, referring to the tech leaders appearing in prime camera position at Trump’s inauguration. “It’s like walking into Teddy Roosevelt’s lodge and seeing the mounted heads of all the big game he shot.”

For now, the ragtag populist figures like Bannon who defined Trump’s early years in politics are still celebrating. Roger Stone, the convicted and subsequently pardoned Trump kibitzer, attended inauguration events in his anachronistic morning suit—with plans for evening white tie. The British MP Nigel Farage hosted a party Friday at the Hay-Adams hotel, while former British Prime Minister Boris Johnson managed to get a ticket for the U.S. Capitol Rotunda.

On Thursday, Bannon threw his own party, titled “Novus Ordo Seclorum,” or “A New Order of the Ages,” at Butterworth’s club on Capitol Hill. Drinks included, perhaps predictably, the Covfefe Martini (vodka, Fernet, espresso) and the Im-Peach This (gin, peach, Cocci Americano). Bannon arrived fashionably late and was followed from the moment he ducked through the door by a mob of iPhone documenters, and even a man with a flashbulb. He received an impromptu line of frenzied well-wishers that one British journalist quipped was “as if for the Queen.”

[Read: The MAGA honeymoon is over]

As seared foie gras and freshly shucked oysters moved through the room, Bannon urged his supporters to “set new lows tonight,” reminding them that once Trump took the oath of office on Monday, “then the real fun happens.”

“You have two to three days to get sober,” he exhorted. “Go for it!”

The tech barons also fanned out through the city in celebration. The next night, across town, Bezos and his fiancée, Lauren Sánchez, dined at Georgetown’s new hot spot, Osteria Mozza, sitting at a window table with leaders of the Post. On Saturday, Palantir and the PayPal co-founder Peter Thiel hosted a party at his Woodley Park mansion; a bow-tied and mop-topped Zuckerberg arrived before the sun had fully set. And yesterday, Trump called Musk up onstage during his pre-inauguration rally inside the Capital One Arena—“C’mere, Elon!” he growled—briefly ceding the spotlight to the Tesla executive and his young son X.

During the 2024 election, many liberals and some conservatives feared that Trump’s second term would usher in a new kind of American autocracy, à la Hungary. But on its first day, at least, Trump’s new administration seems, more than anything else, oligarchal—albeit one where the transactions mainly flow one way, at least so far.

“They’re lining up to obey in advance. because they think they’re buying themselves peace of mind,” Ruth Ben-Ghiat, an expert on authoritarianism who has been critical of Trump, told us. But, added Ben-Ghiat, who noted the overlap between autocracy and oligarchy: “They can give that million and everything can be fine—but the minute they displease Trump, he could come after them.”

Nvidia stock bleeds, Bitcoin bounces back, and Jamie Dimon's view: Markets news roundup

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