At first glance, it might seem like the entire US cryptocurrency community is backing Donald Trump for the upcoming presidential election. Yet, this perception doesn’t capture the full picture. Even at the largest Bitcoin conference in the US, where many sported red MAGA and “Make Bitcoin Great Again” hats, there was dissent among those worried about crypto’s anti-government ethos being compromised.
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“You can’t be a real Bitcoiner and cast a vote for Trump,” said Kyle Olney, a California-based Bitcoiner. He noted that Trump’s values and political philosophies clash with those of the Bitcoin community. Much of the push to rally behind Trump stems from industry donors pouring millions into the 2024 election. For some long-time Bitcoin enthusiasts, Trump’s embrace of the digital asset seems irrelevant.
“The idea of Bitcoin is to be independent from policy,” said Filip Primec of NiceHash. Trump’s proposal to create a US stockpile of Bitcoin and Senator Cynthia Lummis’s plan for the government to buy 1 million Bitcoin over five years contrast sharply with Bitcoin’s 2008 white paper, which promised a decentralized currency free from government influence.
At the Nashville venue where Trump spoke, enthusiasm filled the air long before he took the stage. The event bore all the hallmarks of a Trump rally, with signs and T-shirts supporting him. However, many attendees were long-time Trump supporters with little interest in digital assets. “I don’t know much about crypto, but I’ve been a Trump supporter for the last eight years,” said Lee Crowder, who attended the event.
Support for Trump within the crypto community is driven by the Biden administration’s crackdown on the industry and backlash against prominent skeptics like Senator Elizabeth Warren. SEC Chair Gary Gensler, who has targeted many of crypto’s biggest players, is viewed as the industry’s main antagonist. The loudest cheers during Trump’s speech came when he promised to fire Gensler.
Yet, electing Trump may not be the only route to a softer regulatory approach. While Vice President Kamala Harris has yet to take a stance on crypto policy, some industry leaders hope for a change in direction from the Biden administration. Brian Armstrong, CEO of Coinbase Global Inc., expressed optimism that the next administration, whether Republican or Democratic, will be constructive on crypto. Michael Novogratz of Galaxy Digital Holdings echoed this sentiment, suggesting Harris might soon declare her support for innovation and crypto.
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Despite Trump’s courting of wealthy industry donors, many in the Bitcoin community remain skeptical. “Anybody who cares about Bitcoin’s mission frankly doesn’t care about Trump’s endorsement other than it being a nod of legitimacy,” Olney said. The simple fact that crypto has become a campaign-trail talking point is significant, but Trump’s involvement complicates the mix.
Key Points:
i. Community Division: Despite vocal support at a major Bitcoin conference, many Bitcoin enthusiasts are skeptical of Trump’s alignment with Bitcoin’s core values.
ii. Political Influence: Wealthy industry donors back Trump, but long-time Bitcoin advocates find this irrelevant to Bitcoin’s decentralized ethos.
iii. Trump’s Bitcoin Proposal: Trump’s plan to create a US Bitcoin stockpile and buy 1 million Bitcoins contrasts with Bitcoin’s anti-government design.
iv. Regulatory Concerns: Support for Trump partly stems from opposition to the Biden administration’s regulatory actions, especially by SEC Chair Gary Gensler.
v. Future Prospects: Optimism exists that the next administration, whether Republican or Democratic, will adopt favorable cryptocurrency policies, with leaders like Vice President Harris showing potential support.
James Kravitz – Reprinted with permission of Whatfinger News
