Can Bitcoin Influence the Next President?

2024 Political Decision Stunner: How Crypto Could Choose the Next U.S. President

As the 2024 U.S. presidential election approaches, an unexpected force is set to influence the race: cryptocurrency. Once dismissed as a speculative asset, digital currencies are now playing a significant role in national politics, potentially affecting the outcome of one of the most crucial elections in American history.

The Crypto Surge: A New Political Powerhouse

Cryptocurrency, previously considered a passing trend, has now firmly established itself in the political arena. Candidates are no longer solely focused on traditional issues like tax reforms or foreign policy; they are actively engaging with the crypto community. Nearly half of American voters now include crypto in their investment portfolios, raising the stakes in the upcoming election.

A recent Harris Poll revealed that 47% of American voters see crypto as part of their financial future. This growing adoption has compelled candidates to revise their strategies, recognizing that their stance on digital currencies could determine their electoral success.

Trump’s Crypto Turn: A Game-Changer?

Former President Donald Trump, once a vocal critic of Bitcoin, has made a significant shift. In a strategic move, Trump is now embracing the crypto community, even accepting Bitcoin, Ether, and Dogecoin for campaign donations. This shift aims to secure votes from the anti-CBDC and pro-crypto coalition.

At a recent event, Trump assured voters that under his leadership, the U.S. would become a global leader in crypto innovation, preventing companies from moving overseas. His newfound support from industry leaders and the broader crypto community has strengthened his position as the preferred candidate for those invested in digital assets.

Kamala Harris’ Balancing Act: Can She Win Over the Crypto Community?

With President Joe Biden stepping down from the presidential race, Vice President Kamala Harris has taken the lead for the Democratic Party. Traditionally seen as indifferent to the crypto industry, Harris has had to adjust her approach. The administration’s push for a 30% tax on crypto mining and stricter regulations had caused concern, but the political landscape is evolving. With Trump’s pro-crypto stance, Harris’s campaign has started engaging with crypto firms to craft a crypto-friendly policy.

However, Biden’s recent veto of a bill allowing financial firms to custody Bitcoin sparked outrage within the crypto community. Ripple CEO Brad Garlinghouse expressed disappointment, calling it a missed opportunity. As Harris tries to navigate between regulation and innovation, the question remains: Can she win over the crypto-savvy electorate?

The Crypto Vote: A Decisive Factor in 2024?

With 52 million American adults using or holding crypto, the 2024 election could hinge on this crucial voting bloc. States with large numbers of crypto holders, such as California and New York, were key to Biden’s 2020 victory. However, with changing sentiments, these states could swing if Harris’s policies alienate these voters.

A recent Harris Poll in swing states found that nearly half of respondents distrust candidates who oppose cryptocurrencies. Moreover, 30% said they are more likely to support a pro-crypto candidate. As crypto becomes more mainstream, it is not just a financial issue but a political one that could determine the next U.S. president.

Lobbyists and Legislation: The Crypto Industry’s Growing Influence

Crypto lobbyists have ramped up their efforts, spending record amounts in 2023 to influence the upcoming election. Coinbase, the largest spender, contributed $2.16 million to lobbying for clearer tax reporting requirements and better regulatory frameworks. The Fairshake Political Action Committee (PAC), backed by major crypto firms, has also funneled significant funds into the campaigns of pro-crypto candidates.

These lobbying efforts are paying off. Two major bills, the Financial Innovation and Technology for the 21st Century Act and the Blockchain Regulatory Certainty Act, were passed in 2023, increasing regulatory clarity for the industry. While these bills aren’t directly supported by presidential candidates, they reflect a growing acceptance of crypto in Washington — a trend candidates can’t ignore.

The Future of Crypto in U.S. Politics

Regardless of who wins the 2024 election, one thing is clear: cryptocurrency has emerged as a significant force in U.S. politics. The SEC’s recent approval of spot Ether ETFs is just one example of the industry’s growing influence. As more Americans invest in digital assets, candidates must navigate this new terrain or risk losing a vital voter base.

The 2024 election could very well be decided by which candidate better understands and supports the crypto industry. As the political landscape continues to evolve, one thing is certain: the era of crypto politics has only just begun, and its impact on the U.S. presidency will be felt for years to come.