2024 Presidential Race: Crypto Enters the Forefront as Trump Changes Tune
Summary:
As the 2024 U.S. presidential elections approach, cryptocurrencies have become a potent tool for candidates. Former President Donald Trump recently softened his stance on crypto, promising a strong future for the industry in the country. This proclamation follows President Biden's threats to veto a crucial crypto bill, leading to a turn of events in Trump's favor. However, whether Trump's pro-crypto stance is genuine or merely a campaign strategy remains to be seen. Notably, the shift in attitude could potentially sway key swing states, where a significant crypto-owning demographic antagonistic to crypto-regulation exists.
On November 5, U.S. citizens will cast their votes for their next president in an election that promises to be contentious due to increased voter polarization and typically lackluster voter participation. As the event swiftly approaches, presidential candidates are vying for the trust of the populace, offering visions of a more prosperous future. Cryptocurrency has interestingly entered the scene in this electoral race.
Former President Donald Trump's stance regarding cryptocurrencies appears to have softened, promising a secure and strong future for the crypto industry within American borders. But, is Trump genuinely pro-crypto, or is he merely exploiting this sector as a political pawn to secure votes in the impending elections?
Previously, during his term as president, Trump held a fairly skeptical view of cryptocurrencies, echoing common political criticisms that crypto is an air castle and a vehicle for illicit activities. But as the 2024 elections loom, Trump's commentary on the matter has taken a turn. At an NFT (Non-Fungible Token) holder event on May 8 held at his Mar-a-Lago resort in Florida, he lambasted President Joseph Biden and Gary Gensler, the current head of the Securities and Exchange Commission, accusing them of undermining cryptocurrencies. Trump presented his campaign as a pro-crypto alternative.
Trump's declaration to champion the cause of crypto is a reaction to the threat by the Biden administration to veto the H.J.Res. 109 SEC crypto bill. This bill allows U.S-regulated financial institutions to be crypto custodians. Several influential crypto advocates, like Ethereum's co-founder Charles Hoskinson, have supported the bill and opposing Biden's presidency for allegedly hindering the crypto sector.
Throughout Trump's administration, the crypto industry was largely disregarded. There's been a strategic drive by the Biden administration to diminish crypto, as pointed out by Hoskinson recently. Blockchain analytics firm Messari's founder and CEO, Ryan Selkis, opined that reelection of Biden may be detrimental to the crypto industry due to incoming hostile regulations.
While the crypto community's disillusionment with Biden is evident, whether Trump truly cares about crypto remains disputable. Mónica Taher, previous tech and business innovation director for the El Salvadorian government, shared her belief that opportunistic politicians are leveraging crypto to boost their image and display themselves as pioneers. In her view, Trump's acceptance of donations in cryptocurrency, despite his prior resistance, mirrors this opportunism.
Trump's campaign is dealing with significant financial setbacks as it defends the ex-president against multiple felony charges. Donald may view crypto as a viable method to replenish his campaign coffers.
Andrew M. Bailey, Bitcoin Policy Institute fellow and co-author of Resistance Money, noted that Trump adopted a reactive stance in response to the suppressive approach of Senator Elizabeth Warren and the Biden administration against the crypto sector. Bailey viewed Trump's pro-crypto facade as a potentially effective strategy, albeit vague and possibly insincere.
Regardless of Trump's motives, he may secure a new voter base with this strategy. A Paradigm poll published on March 14 showed that 19% of registered U.S. voters have bought crypto, claiming this could impact swing states, where outcomes are not guaranteed due to tight competition.
A survey carried out by the Digital Currency Group (DCG) in collaboration with The Harris Poll titled "Crypto Attitudes in the Swing States" found that 93% of voters intended to vote in the impending elections - a significant statistic in a country notorious for low voter turnout. The voters were split almost equally along the party lines, with 43% leaning Republican and 45% Democrat.
According to the DCG survey, 26% of respondents considered a candidate's views on crypto relevant, and 21% believed crypto is a crucial issue in the forthcoming election. Venture capitalist Tim Draper expressed concerns about potential overregulation stifling innovation. Such sentiments were echoed by 83% of survey respondents who wished policymakers would understand crypto better before legislating it.
With six months left until the elections, things could still change. To consolidate a decisive voting block of crypto holders, Trump will need to offer explicit crypto strategies, to avoid being seen as just another politician making empty promises.
Published At
5/15/2024 4:01:00 PM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.