The clash of old and new money behind the "Trump Deal," Peter Thiel and the power game of Crypto

Written by: Web3 Farmer Frank

After Trump's election, the connection between Crypto, Web3, and real-world politics has clearly entered a new phase.

In addition to the appointments of crypto-friendly figures in key positions such as Elon Musk, the U.S. Secretary of the Treasury, the Chair of the SEC, and the White House's crypto czar, some "key individuals" operating behind the scenes, like Peter Thiel, are also crucial players that cannot be overlooked.

When mentioning Peter Thiel, many might first think of the PayPal mafia, the venture capital giant, or the godfather of Silicon Valley, but his low-key yet highly influential political involvement should not be ignored.

If Elon Musk is the leading actor in this "Trump Trading" drama, then Peter Thiel is more like the strategist hidden behind the scenes—his influence is pervasive and is likely to affect the voice and decision-making participation of tech capital in U.S. politics and even globally for the next four years or longer.

Peter Thiel: The Capital and Political Backer of Elected Vice President J.D. Vance

In 2011, during a speech at Yale Law School, Peter Thiel criticized society's blind adherence to traditional career paths, emphasizing that technological innovation should address real problems rather than pursue superficial prosperity. This statement deeply resonated with the student J.D. Vance, prompting him to rethink his career plans.

Influenced by Peter Thiel, J.D. Vance abandoned a traditional legal career and joined Thiel's venture capital firm, Mithril Capital, beginning his foray into the venture capital field. During this time, J.D. Vance wrote the memoir "Hillbilly Elegy," detailing his upbringing in a working-class family in Ohio.

After its publication in 2016, the book quickly became a bestseller and was seen as revealing the mindset of Trump's supporters (Rust Belt workers, social conservatives, anti-globalization middle class, etc.).

Interestingly, as Trump's current vice president, J.D. Vance's book garnered widespread attention and helped him emerge in the political arena, but he initially held a critical attitude toward Trump. However, through Peter Thiel's introduction, J.D. Vance gradually established a connection with Trump:

Peter Thiel not only arranged a meeting between the two at Trump's Mar-a-Lago but also provided significant support for J.D. Vance's political career—he donated $15 million to the super PAC supporting J.D. Vance, setting a record for the largest donation to a single Senate candidate.

It was also with Peter Thiel's support that J.D. Vance successfully became a senator from Ohio in 2022, and in 2024, Trump announced J.D. Vance as his vice presidential running mate (J.D. Vance becoming the vice president is a strategic move). This reflects Peter Thiel's crucial role in shaping J.D. Vance's political career and highlights the influence of certain conservative forces in Silicon Valley on American politics.

However, this is not just a story of one person's power play; it represents a structural upheaval and interest game within the entire capitalist system.

Capital Power Shuffle: The Clash of New Money and Old Money

Overall, this year's U.S. presidential election resembles the prelude to a power shuffle within capitalism, with "New Money," represented by Silicon Valley tech newcomers, challenging "Old Money," represented by Wall Street, or more accurately, competing for greater discourse power and rights to profit distribution.

The rise of Silicon Valley newcomers is not accidental. Over the past decade, emerging fields like AI and Crypto have become engines of economic growth. These new industries emphasize efficiency, innovation, and decentralization, with a common call for "less regulation"—from Web3 to AI, "decentralization" and "liberalization" have become their core narratives, and this vision is simple yet appealing:

Higher technological efficiency, more capital flow, and possibly even a redefinition of the rules of wealth creation.

This easily brings to mind the contradictions between the BRICS countries and the existing international governance structure. However, as major beneficiaries of the international trade system, BRICS countries seek to achieve redistribution within the rules rather than completely overturn the existing order. This gradual "reform" path is, to some extent, a challenge to stability.

In contrast, the demands of Silicon Valley newcomers are entirely different. They do not wish to fight for a fairer resource distribution under existing rules but rather attempt to reshape the rules themselves. For example, they hope to promote a capitalism centered on "efficiency" with "less regulation," viewing regulation and rules as constraints that hinder free innovation and the expansion of technological boundaries.

But the problem is that this path of liberalization and deregulation will inevitably further strengthen the dominant positions of tech giants and capital magnates—technologies like AI and Crypto will concentrate wealth more efficiently, exacerbating the wealth gap while marginalizing the interests of traditional industrial workers, who form the core support for Trump.

This inherent contradiction may become a deep-seated driving force for societal division in the future of the United States.

Balancing New and Old Forces: Key Choices for the Future

From a longer-term perspective, whether the U.S. political and economic system can find a balance between "New Money" and "Old Money" in the next four years or even longer will directly determine the ultimate direction of this power shuffle.

For "Old Money," they need to adapt more flexibly to the social changes brought about by new technologies while defending their core position in rule-making. For "New Money," they need to persuade a broader society to accept the costs of wealth redistribution brought about by technological expansion.

The outcome of this struggle will not only affect the political and economic landscape of the United States but will also profoundly influence the future trajectory of global capitalism, perhaps serving as a microcosm of the transformation of global capitalism. In short, a new era of more globalized and technology-driven capital is approaching, and its key lies in how to redefine the distribution models of power, resources, and rules.

Crypto and AI will undoubtedly be the main battlegrounds. In addition to Peter Thiel's personal investments in crypto projects like Arkham, Infinex, and Polymarket, the entire Crypto field symbolizes the so-called decentralized finance and capital liberalization, and it is a crucial lever for Silicon Valley tech capital to counter traditional finance and reshape the rules.

For this reason, the future is also full of opportunities. Whether in AI, Crypto, or other emerging fields, their core narratives remain attractive: freedom, efficiency, innovation. This process will also test whether all parties can find a compromise amid conflicting interests.

From "Trump Trading" to Peter Thiel's behind-the-scenes layout, what we see is not just an election but a battle for the rules of the future, destined to be a profound struggle over resources, power, and rules.