The upcoming U.S. presidential has been the talk of the town. With the rising prominence of the crypto industry, voters invested in digital assets are emerging as a significant political force. The pro-crypto positions of major presidential candidates, Donald Trump and Kamala Harris, could shape the future trajectory of this rapidly evolving sector.
Both candidates are stressing their commitment to the crypto industry. This scenario indicates that these digital assets are poised to play a major role in shaping the economic and regulatory policies of the next administration.
A Shifting Political Landscape
It is importannt to note that Interest in crypto has grown significantly in recent years. Reports show that between 7% to 21% of Americans own digital currency which translates to 18 to 50 million potential voters. It as widely belved that a candidate’s stance on crypto has became a determinin factor to cast the votes. Research from Gemini found that 73% of crypto holders value a candidate’s view on the industry.
This voting bloc is especially influential in swing states. In places like Arizona and Georgia, crypto advocates outnumber President Biden’s winning margin in 2020. Pro-crypto Political Action Committees (PACs), such as Stand with Crypto, have focused on these key areas. They aim to gather more supporters, showing the rising importance of crypto policies in elections.
Ripple CEO Talks
Ripple Labs CEO Brad Garlinghouse expressed optimism that the U.S. will adopt a more crypto-friendly stance, regardless of the upcoming election outcome, as reported by CNBC on October 24. Speaking during DC Fintech Week, Garlinghouse emphasized that the current election is pivotal, but he believes a more pro-crypto Congress is inevitable, irrespective of the winning party.
Despite his hopeful outlook, Garlinghouse advised startups to consider incorporating outside the U.S., citing that 95% of Ripple’s business now occurs internationally. This strategic move underscores the challenges posed by U.S. regulatory pressures.
How the 2024 U.S. Elections Are Influencing The Bull Market?Trump’s Promises for a Pro-Crypto Stance
Donald Trump and Kamala Harris have taken different stances on cryptocurrency. At the Bitcoin Conference in July 2024, Trump has promised to create a favorable regulatory environment. He pledged to replace SEC Chair Gary Gensler and his campaigns primarily focused on providing clearer regulations.
Donald Trump has actively embraced digital assets during his campaign, showcasing his alignment with the crypto community. He accepted Bitcoin donations and released multiple NFT trading card series, reportedly generating significant revenue.
Additionally, a supporting political action committee raised about $7.5 million in cryptocurrencies by mid-October, emphasizing the role of digital assets in his strategy to connect with tech-savvy voters.
Analysts at Bernstein have said a Trump win could boost Bitcoin. They predict it could surpass its all-time high of $73,000 and reach a range between $80,000 and $90,000.
Harris’ Nuanced Approach to Digital Assets
The other party Kamala Harris has taken a more subtle approach. She haven’t stressed her pro-crypto stance at the campaigns but recent reports indicate she is consulting with industry leaders. This suggests she is trying to understand the sector better.
Her Silicon Valley background points to her support for technology. Harris has also received campaign contributions of $11 million from Ripple co-founder Chris Larsen.
Further, despite Harris’ relatively quiet stance on the matter, there have been signs of her engagement with the crypto industry. Reports indicate that her team has reached out to industry leaders to discuss potential regulatory paths she might pursue if elected.
Harris has publicly expressed her support for cryptocurrency at a fundraiser event in New York’s financial hub, Wall Street.She addressed the topic, marking her initial acknowledgment of the digital asset industry since launching her presidential campaign. The Vice President emphasized that, if elected in November, she plans to advocate for the expansion of both digital assets and artificial intelligence (AI).
Predicted Market Reactions
The crypto market has reacted differently to each candidate’s policies. Analysts at Bernstein predict varying results depending on who wins. They say Bitcoin could rise significantly if Trump wins. But if Harris becomes president, Bitcoin could drop to between $30,000 and $40,000. This shows how vital policy and leadership are to the industry’s future.
Market experts also expect altcoins like Ethereum and Solana to perform differently. Alex Kruger of Asgard Market said these altcoins might outperform Bitcoin if Trump wins. He called this the “Trump trade.” Standard Chartered’s Geoff Kendrick agreed. He noted that Ethereum and Solana could grow more if Trump wins, aligning with his pro-crypto policies.
Conclusion: Crypto at the Crossroads
Crypto firms and advocates have taken action beyond the election. Pro-crypto PACs like FairShake have gained strong support and Ripple has made significant contributions to these efforts. This shows the industry’s interest in shaping future regulations. Figures like attorney John Deaton have also gained backing and have challenged lawmakers opposing crypto. Billionaire Mark Cuban noted that Harris’ recent actions show progress in understanding the crypto industry while Trump has made broad promises.
Altogether on a broader view, both candidates are ready to make efforts for regulating the crypto industry. So, it is evident that post the election the crypto market can get a new boost react poistively.
