Former President Donald Trump and several Republican politicians made ambitious promises to the crypto community at Bitcoin (available on Coinbase) 2024 this past weekend. However, these promises, including appointing a crypto Presidential Advisory Council, firing SEC chair Gary Gensler, promoting friendlier regulations, and banning central bank digital currencies, face significant hurdles in Washington, D.C.
Prominent Crypto Commitments
Trump’s promises to the crypto world were highlighted by his pledge to establish a “strategic national Bitcoin (available on Coinbase) stockpile.” He received a loud cheer when he called for the ouster of SEC chair Gary Gensler, who has led a stringent crackdown on major crypto players. Trump’s quip, “I didn’t know he was that unpopular,” resonated with the audience.
Despite the enthusiasm, many of these initiatives, such as creating a Bitcoin (available on Coinbase) (BTC-USD) stockpile, would likely require new legislation from Congress. Quickly firing Gensler could also prove legally challenging, as SEC chairs can only be dismissed “for cause” and his term does not expire until 2026.
Republican Support and Legislative Efforts
The Bitcoin (available on Coinbase) 2024 event in NAShville saw numerous Republican politicians advocating for pro-crypto measures. Senator Cynthia Lummis (R-WY) announced plans to introduce a bill for a strategic Bitcoin (available on Coinbase) reserve, aiming to acquire one million Bitcoin (available on Coinbase)s using existing Federal Reserve and Treasury funds to pay down the national deficit. Senator Bill Hagerty (R-TN) emphasized that the crypto industry would be a significant issue in the November elections.
During his NAShville visit, Trump raised substantial funds, with attendees paying between $60,000 and $844,600 to participate, according to an online sign-up sheet. The crypto industry’s largest Super PAC, FairShake, has also raised over $202.94 million, significantly outpacing other Super PACs, according to data from Open Secrets. FairShake plans to support candidates committed to a “clearer regulatory and legal framework.”
Challenges Ahead
Despite the high-profile support, implementing these crypto-friendly measures faces significant obstacles. Creating a national Bitcoin (available on Coinbase) stockpile requires Congressional approval, and firing Gensler could encounter legal resistance. Additionally, Federal Reserve Chairman Jerome Powell stated in March that the Fed is not close to deploying a central bank digital currency, reducing the urgency of Trump’s proposed ban.
Political and Economic Impact
Robert Kennedy Jr., another 2024 presidential candidate, also pledged to build a strategic Bitcoin (available on Coinbase) reserve until the US holds 4 million Bitcoin (available on Coinbase)s, worth approximately $272 billion. He emphasized the alignment of Bitcoin (available on Coinbase) with his values and its potential economic benefits.
The conference attracted a large, predominantly male audience, highlighting the growing interest in crypto. Former NFL player Russell Okung, who has advocated for Bitcoin (available on Coinbase), expressed excitement about the industry’s rising influence, predicting it would surpass major political conventions in significance.
Bitcoin (available on Coinbase)’s value surged above $70,000 following Trump’s speech, nearing an all-time high, but then dipped on Monday. The cryptocurrency has risen over 50% in 2024, bolstered by Wall Street’s embrace and the launch of the first exchange-traded funds in the industry earlier this year.
Crypto Community’s Response
While the crypto community is optimistic about the potential for a US strategic Bitcoin (available on Coinbase) reserve, executives recognize the challenges. Vance Spencer, co-founder of VC firm Framework Ventures, noted that other countries might feel compelled to buy Bitcoin (available on Coinbase) not necessarily for its intrinsic value, but to avoid being late adopters.
Despite the positive momentum, many Bitcoin (available on Coinbase) advocates remain cautious. Stephen Schellbach, co-director of nonprofit Open Source Justice, highlighted the gap between political support and public perception, with many still viewing Bitcoin (available on Coinbase) skeptically.
Conclusion
Trump’s promises to the crypto world signal increasing political attention to the industry. However, significant challenges lie ahead in translating these promises into action. The crypto community will closely watch the developments and potential impacts on the broader financial landscape.
Featured Image: Freepik
Please See Disclaimer