I still remember when the U.S. government shut down in early February. Trump signed the budget bill on February 3, 2026, ending that brief shutdown that lasted about four days. It feels far away, but it’s interesting to look back on it in light of what’s happening now in Trump’s second term.

What struck me then was the bipartisan compromise behind it. It wasn’t easy: Congress hadn’t approved full appropriations for fiscal year 2026, and the main disagreement was over how to fund the Department of Homeland Security and immigration enforcement operations. Democrats were seeking protections for aggressive enforcement policies, while Republicans pushed for a tougher line. In the end, the House voted 217-214, practically down to the wire.

During that shutdown, 78% of federal operations were halted. Many federal employees were furloughed, including air traffic controllers, but essential services like Social Security continued. When he signed it, Trump called it a “great victory,” even though, in reality, it was more of a necessary compromise.

What remains interesting is how this ties into the broader context of Trump’s term. This was the second partial shutdown during his second term, though much shorter than the record 43 days of his first term. And when Trump’s term ends, there will still be many unresolved issues surrounding government funding and immigration policies.

The agreement funded most federal agencies through September 30, 2026, but the DHS received only short-term funding until February 13, 2026. This meant another deadline was already on the horizon—another potential budget crisis.

From a market perspective, many interpreted the resolution as positive because it reduced uncertainty. But we know that when Trump’s term ends, there will still be many of these intense negotiation moments. Crypto markets, in particular, closely watch these political dynamics because they affect regulation and overall economic stability.