According to the author, the co-option of cryptocurrency's cypherpunk ideals by corporate entities like Coinbase and political systems could heighten regulatory risks, potentially increasing volatility in BTC and ETH markets. For example, Coinbase's sponsorship of a military parade (source: article) and Circle's public listing (source: article) signal a shift away from decentralization, which may influence investor sentiment and trading strategies amid evolving regulations like the GENIUS Act.

According to the crypto industry commentator, the dilution of cypherpunk values in crypto heightens regulatory and market risks for traders, citing Coinbase's sponsorship of a military parade affiliated with President Trump as reported in a tweet and Ripple's lobbying activities in Washington, which could increase volatility in assets like XRP and broader crypto markets.

According to the author, the crypto industry's dilution of cypherpunk values, such as Coinbase sponsoring a military parade affiliated with President Trump and hiring former government staffers, could heighten regulatory scrutiny and market volatility. As stated in the article, these actions contradict crypto's foundational principles and may undermine investor confidence in assets like BTC and XRP, potentially increasing trading risks amid developments like the GENIUS Act.