Trump's Second Term: AI Boom and the Next Investment Themes - Crypto, Energy, and Space

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Trump's Second Term: AI Boom and the Next Investment Themes - Crypto, Energy, and Space

Disclaimer: This article is for informational purposes only and does not constitute investment advice. All investment decisions should be made based on your own judgment and responsibility, and you should consult with professional financial advisors.

This article is based on my personal predictions and was written through conversations with AI, with sources that may have been fitted to support my hypotheses. Please keep this in mind when reading.

As Donald Trump's second term (2025-2029) begins, the direction of U.S. industrial policy is drawing attention. Under the "America First" framework, policies positioning artificial intelligence (AI) as the central pillar of economy and national security are being announced. However, as AI-related tech stocks show signs of overheating, the market is already searching for the next big theme. And I, too, am continuously trying to predict what comes next. (Honestly, I've placed my bets on genetic engineering.)

In this article, I'll objectively analyze the industrial policy direction of the Trump administration and three sectors that could emerge after AI—cryptocurrency, space, and energy. Let's examine how the industrial landscape might evolve through policy trends and market dynamics.

The Current AI Boom: Overheating or Just the Beginning?

In 2025, the U.S. stock market is hot with AI themes. According to major financial institutions' analyses, AI-related tech stocks like NVIDIA, Microsoft, and Broadcom account for a substantial portion of S&P 500 returns.

The Trump administration made its intentions clear through an AI-related policy package announced in July 2025, positioning AI as a strategic national industry. Regulatory relief and infrastructure investment are key, particularly in attracting massive private investment for AI data center construction.

Comparing to the Dot-Com Bubble

Some experts compare the current AI boom to the late 1990s dot-com bubble. The internet frenzy from 1995-2000 drove the NASDAQ soaring, but the 2000 bubble burst led to a 78% crash and severe economic damage.

However, there are important differences:

  1. Government Intervention: While the dot-com era was purely private-sector driven, the current AI boom is backed by active government industrial policy.
  2. Real Demand: In the late 1990s, many internet companies saw stock prices skyrocket without actual revenue models, whereas today's AI companies are generating real sales and profits.
  3. Infrastructure Maturity: Back then, broadband infrastructure was lacking, but now cloud and data infrastructure are already established.

Major consulting firms like McKinsey project that AI infrastructure investment from 2025-2030 will reach trillions of dollars, yet they see a higher likelihood of gradual adjustment rather than a sharp collapse like the dot-com bubble.

Characteristics of Trump's Second-Term Industrial Policy

The Trump administration's industrial policy in its second term shows several distinctive features:

1. Emphasis on Public-Private Partnerships

The private sector backgrounds of the President's close associates and key cabinet members are reflected in policy. A prime example is Elon Musk taking on an advisory role overseeing government efficiency improvements.

2. Focus on 'Symbolism'

President Trump is known to value symbolic and visual achievements more than any president before him. Therefore, projects with a "wow factor" that can appeal to the public, beyond just technical feasibility, are likely to receive priority.

3. Technological Competition with China

U.S.-China tech competition remains a key variable. Policies to stay ahead of China in strategic technology areas like AI, semiconductors, and space continue to be announced.

Candidates for the Next Boom: Three Sectors

As the AI boom matures, the market naturally seeks the next growth driver. Considering the current administration's policy direction and market trends, three sectors could gain attention.

Phase 1: Cryptocurrency and Digital Finance (2025-2026)

Background of Policy Changes

President Trump was negative on Bitcoin during his first term, but his stance has shifted significantly in his second term. Crypto-friendly statements began emerging in early 2025, and regulatory authorities' attitudes are also changing.

The Securities and Exchange Commission (SEC) is moving toward gradually easing cryptocurrency-related regulations. Regulatory clarification work related to DeFi (decentralized finance) is particularly underway.

Connection to AI

Cryptocurrency and AI can create synergies in several ways:

  • Smart Contract Optimization: AI enhances blockchain smart contract efficiency and detects bugs.
  • Risk Analysis: AI-based trading analysis systems evaluate cryptocurrency market risk factors in real-time.
  • Blockchain Data Processing: AI is essential for analyzing large-scale blockchain data.

Market Outlook and Risks

Financial media like Bloomberg expect regulatory easing to lead to cryptocurrency market expansion. Institutional investor participation may also increase.

However, risks exist:

  • Regulatory Uncertainty: Many areas remain in legal gray zones.
  • Market Volatility: The cryptocurrency market still shows high volatility.
  • Conflict of Interest Controversies: Government officials' cryptocurrency-related interests could become controversial.

Why First?

Cryptocurrency is a sector where policy implementation is relatively quick and can generate market reactions in the short term. Since regulatory relief alone can produce immediate market effects, it's likely to emerge as the first theme right after the AI boom. And I believe it has the best synergy with AI currently and the highest feasibility.

Phase 2: Space Exploration and Space Economy (2026-2027)

New Phase of Space Policy

Following the creation of Space Force during Trump's first term, more ambitious space plans are being discussed in the second term. Increased NASA budget and support for private space companies are key.

Lunar base construction and Mars exploration are being presented as long-term goals. These are regarded as symbolic projects demonstrating national prestige beyond simple scientific endeavors.

Growth of Private Space Industry

Private space companies like SpaceX and Blue Origin have already secured significant technological capabilities. The government is promoting through partnerships:

  • Reducing satellite launch costs
  • Developing space tourism industry
  • Developing space resource exploration technology

Convergence of AI and Space

Modern space exploration is impossible without AI:

  • Autonomous Navigation: Spacecraft and exploration robots navigate autonomously with AI.
  • Satellite Data Analysis: AI processes data sent by thousands of satellites in real-time.
  • Space Weather Prediction: AI predicts space phenomena like solar winds to protect satellites and astronauts.

Market Opportunities and Challenges

Space-related industries including rocket manufacturing, satellite communications, and space data analysis are projected to grow. Space ETFs and related companies may attract investor attention.

However, challenges remain:

  • High Capital Costs: Space projects require massive initial investment.
  • Technical Hurdles: Ambitious goals like Mars exploration may face unexpected technical problems.
  • Congressional Approval: Large-scale budgets require congressional approval and may face political opposition.

Why Second?

Space industry can attract strong symbolism and public attention, making it likely the administration will actively promote it ahead of the 2026 midterm elections. However, policy implementation and results take longer than cryptocurrency, hence the second-place prediction.

Nothing creates a more powerful impact than announcing the beginning or success of the space industry, after all.

Phase 3: Next-Generation Energy (2027-2029)

Duality of Energy Policy

Trump administration's energy policy has two axes: 'fossil fuel support' and 'next-generation technology development.'

While traditionally supporting the oil and gas industry, President Trump is simultaneously showing interest in next-generation energy technologies like Small Modular Reactors (SMR) and nuclear fusion. This appears to be a strategy to achieve energy independence and technological superiority without getting caught up in "climate change debates."

SMR: Achievable Future

Small Modular Reactors, compared to traditional nuclear power plants:

  • Have shorter construction periods
  • Require less initial investment
  • Have higher safety

Companies like NuScale have already entered the commercialization stage, and the U.S. Department of Energy (DOE) is actively supporting them.

Particularly, AI data centers' massive power demand is expected to drive SMR demand. Reports suggest some big tech companies are considering building their own SMRs.

Nuclear Fusion: Long-term Vision

Nuclear fusion is called the 'ultimate energy source,' but many challenges remain before commercialization.

The U.S. government participates in international fusion projects like ITER, and private fusion startups are also emerging. Legislation reportedly passed in June 2025 invests tens of millions of dollars in fusion workforce development.

However, most experts project that commercial fusion won't be possible until the mid-2030s or later.

Virtuous Cycle of AI and Energy

AI and next-generation energy are interdependent:

  • Demand Side: AI data centers consume tremendous power, promoting new energy source development.
  • Supply Side: AI optimizes power grids through smart grids and improves energy efficiency.
  • Research Side: AI analyzes fusion experiment data to accelerate research.

Investment Perspective and Cautions

The energy sector is expected to show stable long-term growth. SMR-related companies and uranium mining companies may particularly benefit.

On the other hand, fusion is still closer to symbolic investment and should be approached from a long-term portfolio perspective rather than short-term returns.

Environmental regulations and local resident opposition are also variables. Nuclear facility construction can be politically sensitive.

Why Last?

Energy projects require the longest time from planning to operation. Even SMR operations are expected to begin in earnest only around 2027-2028, and fusion is an even more distant future. Therefore, market attention will likely form relatively later.

Common Thread Across Three Sectors: Connection to AI

Interestingly, all three sectors are deeply connected to AI:

  • Cryptocurrency: AI strengthens blockchain analysis and smart contracts
  • Space: AI handles autonomous exploration and data analysis
  • Energy: AI supports smart grids and fusion research

This can be seen as AI boom not 'ending' but 'expanding' into other industries. AI will continue growing as a foundational technology, while investor attention shifts to specific industries where AI is applied.

And the three predicted sectors are actually already receiving attention. However, I believe their full-scale growth or future expansion will properly follow after the AI boom ends.

What Investors Need to Know

1. Uncertainty of Policy Execution

Announcing plans by the administration differs from actual execution. Multiple variables exist including congressional approval, budget allocation, and regulatory agency cooperation.

2. Beware of Market Overheating

When new themes emerge, short-term speculative demand can rush in, forming bubbles. Fundamental analysis is important.

3. Importance of Diversification

Rather than concentrating on one sector, diversifying across multiple promising sectors is advantageous for risk management.

4. Maintaining Long-term Perspective

Particularly space and energy sectors are long-term projects. Patience not to be swayed by short-term volatility is necessary.

Conclusion: Reading the Flow of Change

The Trump administration appears to be drawing a technology innovation roadmap extending from AI to cryptocurrency, space, and next-generation energy. Each sector is independent yet interconnected on the common foundation of AI.

Investors and industry stakeholders should understand these policy trends while remembering:

  • Government announcements and actual execution may differ
  • All industries have risks
  • Focus on long-term value over short-term speculation
  • Make decisions aligned with your investment goals and risk tolerance

The industrial landscape after the AI boom remains uncertain, but understanding the direction of change is the first step in preparing for the future. Time will tell which sectors actually succeed.

Major Reference Sources:

  • White House official announcements
  • Securities and Exchange Commission (SEC) policy documents
  • Reports from Bloomberg, Reuters and other major financial media
  • Research reports from McKinsey, Goldman Sachs, etc.
  • NASA and U.S. Department of Energy official materials

Word Count: Approximately 13,800 characters (including spaces)

Once Again, Emphasis: This article is for informational purposes only and does not contain any investment advice. All investment decisions are the reader's own responsibility.

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