Federal Reserve governor Chris Waller says the crypto hype that accompanied US President Donald Trump’s election victory has begun to wane as the market has become more entwined with traditional finance.

“I think some of the euphoria that came into the crypto world with the current administration, some of that’s kind of fading,” Waller said at a conference on Monday.

“A lot of it has been brought into the mainstream finance,” Waller said. “Then, you know, things have to happen there, so I think there was a lot of sell-off just because firms that got into it from mainstream finance had to adjust their risk positions.”

More traditional finance players have increased their exposure to crypto under the Trump administration, which…