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A day ago, there was much uncertainty about the election. It’s gone now.
Donald Trump — a man who has promised to support the crypto industry — is set to return to the White House in January. Bitcoin reached a record high.
The now-president-elect’s pledges in recent months included firing SEC Chair Gary Gensler, supporting bitcoin mining in America and halting government bitcoin sales.
More members of Congress will support crypto than ever. Stand With Crypto’s ranking shows that 257 House candidates have so far been elected with a pro-crypto stance (compared to 115 anti-crypto stances). In the Senate the crypto-friendly candidates won 16 to 12 over those with a negative view of the industry.
As of Wednesday afternoon, Republicans had gained control of both the Senate and the House.
“With the likely Republican sweep, the obstacles for fulfilling [Trump’s] promises will come down to three factors: order of importance in the grand scheme of politics, how sound the policy proposed is, and the personnel hired within the White House and relative agencies,” Ron Hammond, the government relations director at Blockchain Association, told me that.
FalconX’s David Lawant, and Kaitlin Gately said that in a Wednesday report that stablecoin law is “likely the lowest-hanging fruit.” They also highlighted the Financial Innovation and Technology for the 21st Century Act (FIT21), which needs to pass the Senate, after the House approved it with bipartisan backing in May.
CoinShares research head James Butterfill labeled the prospect of the BITCOIN Act — which would establish a US strategic bitcoin reserve — a “key focus.”
Hammond said that while most of the problems in the crypto industry are long-term and will require a legislative fix, Trump could take certain actions now.
“The most immediate: the debanking issue plaguing the industry and course-correcting the hostile approach the banking regulators have taken under the Biden Administration,” He argued.
Speaking of regulators, many are keeping an eye on who Trump could select to replace Gensler as SEC chair — and when.
Trump was surprised at the raucous applause of the Bitcoin 2024 crowd when he announced that he would fire Gary. We know Trump loves the love of large crowds.
Hammond told Hammond that, if Trump were elected, Gensler would be replaced quickly (in either January or February). Lawant and Gately speculated on whether Trump would choose Hester Peirce (both current SEC commissioners), or Mark Uyeda to lead the agency. We’ll have to wait to see.
One other action to watch out for, the FalconX pros pointed out, will be the crypto-focused advisory council Trump mentioned in July — “tasked with designing transparent regulatory guidance for the industry within the first 100 days of the new administration.”
Anthony Pompliano, founder of Professional Capital Management, told CNBC Wednesday morning that he does not expect Trump to fulfill all the promises he made during the campaign. However he believes Trump will keep some of them.
For example, creating a Bitcoin reserve would be an excellent idea. “huge tailwind” It would not be surprising if it were to cause “global game theory,” He explained.
Ashley Ebersole, former senior counsel at the SEC, told me that in August a pro-crypto presidential approach could be as easy as “White House silence” Pairing up agencies with crypto-forward leaders.
Pompliano reminded me of this when he added: “If he’s going to protect [bitcoin] and not be abrasive, that’s a win.”
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