As the 2024 US presidential election approaches, the crypto community is abuzz with excitement. Both Democratic and Republican candidates have signaled their intentions to implement pro-crypto policies, leading to a notable increase in US political betting activity.
In July 2024, trading volumes on Polymarket reached record levels, exceeding $380 million. Additionally, the platform saw its user base swell to nearly 44,000 traders, a significant rise from around 4,000 in January.
This summer, during a campaign event in Milwaukee, Vice President Harris made a commitment to reduce bureaucratic hurdles regarding cryptocurrencies if elected. However, her statements were met with skepticism, especially given her historical ties to the policies of the Biden administration, which has been known for its stringent regulatory stance on crypto.
Digital finance is emerging as a pivotal issue in the election, with anticipation building for the upcoming debate between Trump and Harris. Trump has pledged to make the United States the “crypto capital of the planet” if he regains the presidency. However, both candidates’ ambiguous positions on cryptocurrency have left many in the crypto community frustrated.
With 18 million adult Americans having owned or used cryptocurrency in 2023, the question arises: are Harris and Trump genuinely committed to enhancing cryptocurrency’s role in everyday life, or are they merely seeking votes? Given the narrow margins between them in polling numbers, that percentage could ultimately influence the election.
Is Harris the successor to Biden’s tough crypto policies?
Kamala Harris has spent much of her career in law enforcement, starting as a deputy district attorney in California. In 2017, she became the first woman of color elected to the US Senate. Following her inauguration as Vice President in 2021, she has faced scrutiny over her stance on crypto regulation.
The conflict over crypto regulation intensified in March 2022, following Biden’s executive order that underscored various concerns related to digital assets. However, the crypto community is particularly wary of Harris’s potential appointment of Gary Gensler, the current SEC chair, as Treasury Secretary. Once considered a progressive voice within the crypto landscape, Gensler’s perspective has hardened since his appointment, labeling the crypto sector as a “Wild West” prone to scams.
“I believe we have a crypto market now where many tokens may be unregistered securities.”
Gensler’s high-profile case against Sam Bankman-Fried has further solidified his image as a critic of the crypto space. Recently, the SEC has targeted major players like Binance and Coinbase, raising alarms in the crypto market.
Harris’s promises to streamline crypto regulations seem hollow given her connections to prominent Democratic figures known for their unfavorable views on cryptocurrencies. The legacy of Biden’s administration still looms large, complicating Harris’s prospect of fostering a supportive regulatory environment for crypto.
In contrast, Trump appears to be positioning himself as a pro-crypto candidate. Starting his political career in the 1980s, he officially declared his candidacy in 2015, modifying his stance on cryptocurrency after witnessing its economic potential first-hand. While he had previously criticized Bitcoin, a significant shift occurred as he began to leverage his platform for crypto advocacy.
Notably, Trump has accepted cryptocurrency donations for his campaign and recently launched a crypto platform operated by his sons. This strategic move, along with endorsements from industry leaders, illustrates a growing alliance between Trump and the crypto community. Analysts predict that if Trump wins the election, the price of Bitcoin could soar to $90,000 by the end of 2024, contrasting sharply with projections under a Harris presidency.
What to expect if Kamala Harris wins?
Harris’s statements regarding cryptocurrency regulation have been notably vague. While she may attempt to position herself independently from the Biden administration, significant resistance from anti-crypto elite influences could hinder her ability to realize any meaningful reforms. The current US government posture is slowly evolving, but under Harris, substantial changes are unlikely due to existing regulatory frameworks and her connections.
What to expect if Donald Trump wins?
Trump’s rhetorical embrace of cryptocurrency serves as a clear tactic to appeal to specific voter segments. His unique combination of rapid decision-making on crypto policies could lead to significant regulatory changes should he win the presidency.
Conclusion
The 2024 presidential race highlights stark contrasts in the approaches to cryptocurrency regulation between Kamala Harris and Donald Trump. Harris’s potential continuation of Biden’s regulatory framework contrasts with Trump’s ongoing embrace and support of the crypto community. Industry experts forecast that Bitcoin could achieve substantial growth if Trump returns to office, while uncertainty looms over cryptocurrencies under a Harris administration.
Regardless of the election’s outcome, many analysts maintain optimism regarding Bitcoin’s upward trajectory, with predictions suggesting it could reach $100,000 by 2025. As trends in crypto adoption continue, the overall sentiment remains hopeful for a future where mass adoption becomes a reality.
