With less than two weeks to go, the hotly contested US presidential elections will soon have a winner. Vice President Kamala Harris and former President Donald Trump are pushing hard on their campaigns in this final stretch. As they tackle and discuss several issues affecting the US economy, one of the top subjects of debate is cryptocurrencies.
Looking at Biden’s administration, which Kamala is part of, you’ll see that it hasn’t been a smooth ride for crypto fans. In fact, the percentage of Americans using crypto dropped from 12% in 2021 to 7% in 2023. This decline is mostly due to strict regulations, serious crackdowns, and new tax requirements set up by the IRS.
However, crypto experts in the field are pushing for a middle ground and a change of perception about this new form of currency. Coinbase’s Chief Legal Officer, Mr Grewal, suggests that the sector has no issue with regulation, only that the same standards used for traditional assets also apply to crypto.
But, the connection between politics and crypto is not only found in the US. In Europe, the EU has the same sentiments as the US and is pushing for new laws to reduce the exploitation of crypto by criminals.
In Canada, a country where crypto is thriving and has many applications, a similar scenario where two national leaders have different views about cryptocurrencies occurred.
On one hand, you have the current prime minister, Justin Trudeau, emphasizing the importance of crypto regulation and that cryptocurrencies have their own challenges. On the other hand, you have Pierre Poilievre, the newly elected leader of the Conservative Party and official opposition leader in Canada, being pro-crypto.
His stand on cryptocurrencies is that they are an opportunity for financial freedom and decentralized finance. Currently, Canadians can use cryptos for purchasing goods and services, investments, peer-to-peer transfers, and gaming. Many top Canadian online casino sites support various crypto tokens like Bitcoin and Ethereum for transactions. This is because crypto transactions are fast, smooth, and have fewer fees.
Back in the US, a Kamala or Trump presidency could decide a new future for crypto. However, many people in the crypto world are leaning towards a second chance with Trump.
Kamala Harris | A New Beginning or A Continuation?
Most people in the crypto community are skeptical of a Kamala Harris presidency and view it as a continuation of the hostile crypto environment under Biden. Even though Kamala hasn’t commented much about cryptocurrencies, she promised to support crypto innovations while encouraging regulation in the industry.
Under Biden’s administration, an Executive Order on Digital Assets was issued in March 2022, which put digital assets like cryptocurrencies under tight scrutiny. Agencies like the Securities Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) now had more authority to regulate the industry.
It was during this time that Sam Bankman-Fried, the founder of FTX, was sentenced to a jail term of 25 years for stealing billions of dollars from customers worldwide. Binance’s founder, Changpeng Zhao, was also sentenced to four months in prison and paid a $4.3 billion fine for allowing criminals to launder money through his platform.
With several crypto fraud cases on the rise, Biden’s administration sought more regulation and accountability from the sector. Part of the new measures put in place included sanctions and crackdowns on illegal crypto activities, increased enforcement by SEC & CFTC, the introduction of tax reporting on crypto transactions, and the creation of task forces and organizations to monitor cryptos.
However, Kamala and her team have met with industry executives, including those in crypto, to assure them that she has good intentions for this emerging technology.
Donald Trump | Doublespeak or a Full Supporter?
In 2021, this is what Donald Trump had to say about Bitcoin, “It just seems like a scam, I don’t like it because it’s another currency competing against the dollar.” Three years later, the former president seems to have made a turnaround and even promises to make America the “crypto capital of the world”. He also plans to set up a strategic national bitcoin reserve similar to the government’s gold reserves.
While all these might be true, there’s also a possibility that he’s only trying to lobby for votes from the crypto community. Seeing that many people use cryptocurrencies in the US and that it is one of the sectors that has pumped some serious money, about $119 million in donations to support pro-crypto candidates.
Another reason why crypto enthusiasts favor Trump is because he recently launched a new cryptocurrency venture, World Liberty Financial. The expectation for most people is that, if he wins, he’ll come up with favorable policies and laws for the crypto space. Trump didn’t say much about this new business, but if he gets the top seat, it will be interesting to see whether he’ll stay true to his statements, or if all he wanted was the numbers.
With less than two weeks to go, the hotly contested US presidential elections will soon have a winner. Vice President Kamala Harris and former President Donald Trump are pushing hard on their campaigns in this final stretch. As they tackle and discuss several issues affecting the US economy, one of the top subjects of debate is cryptocurrencies.
Looking at Biden’s administration, which Kamala is part of, you’ll see that it hasn’t been a smooth ride for crypto fans. In fact, the percentage of Americans using crypto dropped from 12% in 2021 to 7% in 2023. This decline is mostly due to strict regulations, serious crackdowns, and new tax requirements set up by the IRS.
However, crypto experts in the field are pushing for a middle ground and a change of perception about this new form of currency. Coinbase’s Chief Legal Officer, Mr Grewal, suggests that the sector has no issue with regulation, only that the same standards used for traditional assets also apply to crypto.
But, the connection between politics and crypto is not only found in the US. In Europe, the EU has the same sentiments as the US and is pushing for new laws to reduce the exploitation of crypto by criminals.
In Canada, a country where crypto is thriving and has many applications, a similar scenario where two national leaders have different views about cryptocurrencies occurred.
On one hand, you have the current prime minister, Justin Trudeau, emphasizing the importance of crypto regulation and that cryptocurrencies have their own challenges. On the other hand, you have Pierre Poilievre, the newly elected leader of the Conservative Party and official opposition leader in Canada, being pro-crypto.
His stand on cryptocurrencies is that they are an opportunity for financial freedom and decentralized finance. Currently, Canadians can use cryptos for purchasing goods and services, investments, peer-to-peer transfers, and gaming. Many top Canadian online casino sites support various crypto tokens like Bitcoin and Ethereum for transactions. This is because crypto transactions are fast, smooth, and have fewer fees.
Back in the US, a Kamala or Trump presidency could decide a new future for crypto. However, many people in the crypto world are leaning towards a second chance with Trump.
Kamala Harris | A New Beginning or A Continuation?
Most people in the crypto community are skeptical of a Kamala Harris presidency and view it as a continuation of the hostile crypto environment under Biden. Even though Kamala hasn’t commented much about cryptocurrencies, she promised to support crypto innovations while encouraging regulation in the industry.
Under Biden’s administration, an Executive Order on Digital Assets was issued in March 2022, which put digital assets like cryptocurrencies under tight scrutiny. Agencies like the Securities Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) now had more authority to regulate the industry.
It was during this time that Sam Bankman-Fried, the founder of FTX, was sentenced to a jail term of 25 years for stealing billions of dollars from customers worldwide. Binance’s founder, Changpeng Zhao, was also sentenced to four months in prison and paid a $4.3 billion fine for allowing criminals to launder money through his platform.
With several crypto fraud cases on the rise, Biden’s administration sought more regulation and accountability from the sector. Part of the new measures put in place included sanctions and crackdowns on illegal crypto activities, increased enforcement by SEC & CFTC, the introduction of tax reporting on crypto transactions, and the creation of task forces and organizations to monitor cryptos.
However, Kamala and her team have met with industry executives, including those in crypto, to assure them that she has good intentions for this emerging technology.
Donald Trump | Doublespeak or a Full Supporter?
In 2021, this is what Donald Trump had to say about Bitcoin, “It just seems like a scam, I don’t like it because it’s another currency competing against the dollar.” Three years later, the former president seems to have made a turnaround and even promises to make America the “crypto capital of the world”. He also plans to set up a strategic national bitcoin reserve similar to the government’s gold reserves.
While all these might be true, there’s also a possibility that he’s only trying to lobby for votes from the crypto community. Seeing that many people use cryptocurrencies in the US and that it is one of the sectors that has pumped some serious money, about $119 million in donations to support pro-crypto candidates.
Another reason why crypto enthusiasts favor Trump is because he recently launched a new cryptocurrency venture, World Liberty Financial. The expectation for most people is that, if he wins, he’ll come up with favorable policies and laws for the crypto space. Trump didn’t say much about this new business, but if he gets the top seat, it will be interesting to see whether he’ll stay true to his statements, or if all he wanted was the numbers.
Curious about the future of crypto? Slight Wave breaks down where Kamala Harris and Donald Trump stand on this hot issue.
