Thanks to his strong support for cryptocurrency, Bitcoin surged over 8% on election day , surpassing $75,000. It registered a single-day increase of over $5,000, breaking the ATH records set back in March amid the excitement over the launch of spot Bitcoin ETFs in the U.S.
Twice Elected President, From Bitcoin Skeptic to Believer
Trump has been elected president twice, during which his attitude toward cryptocurrency has undergone a dramatic shift.
A staunch critic that trashed BTC as “based on thin air”
During his first term as president (January 20, 2017 – January 20, 2021), Trump maintained a largely negative stance toward crypto assets.
In July 2019, Trump publicly criticized Bitcoin and other crypto assets on X for the first time, stating outright that he was not a fan of Bitcoin and other cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air. He added that he wouldn’t be surprised if Bitcoin fell below $6,000. Additionally, he also voiced concerns that Bitcoin and other cryptocurrencies can facilitate unlawful behavior, including drug trade and other illegal activity.
In 2020, while commenting on Facebook’s planned digital currency, Libra (later renamed Diem), Trump said that there is only one real currency in the USA and it is called the United States Dollar; any crypto asset trying to replace the dollar should be strictly regulated. To him, only a regulated financial system backed by strong national currencies like the U.S. dollar could ensure stability and security.
During this period, his administration took a conservative and strict political stance on crypto assets: It required crypto exchanges to comply with anti-money laundering (AML) and know-your-customer (KYC) regulations; the SEC kept cracking down on crypto companies for operating as unregistered securities exchanges; the Department of Homeland Security (DHS) and the Federal Bureau of Investigation (FBI) also strengthened surveillance on crypto assets to combat cybercrime and illegal activities.
A shift in stance, becoming the U.S.’s First “Bitcoin President”
Trump’s attitude toward cryptocurrency took a sharp turn in 2022 as he sought re-election.
He announced on November 15, 2022, that he would run for the 2024 presidential election. Soon after, he used his personal brand and influence to launch a series of NFTs featuring his own image, signaling his entry into the market of crypto assets and digital collectibles.
On February 20, 2024, during an interview with Fox News ahead of the South Carolina primary, Trump stated that “I can live with Bitcoin”. This comment was interpreted as a sign that Trump was softening his stance on Bitcoin. It sparked heated debate. Trump went on to say, “Bitcoin’s taken on a life of its own, and you probably have to do some regulation. Many people are embracing it. I’m seeing people wanting to pay with Bitcoin. I can live with it one way or the other.”
The real shift came with Trump’s unprecedented public support for cryptocurrency.
On May 22, Trump’s campaign team announced on its official website that it would begin accepting contributions through Bitcoin. Trump supporters can now donate using any cryptocurrency accepted through Coinbase Commerce.
Since then, Trump has actively courted the crypto industry for more support. At the Bitcoin Conference on July 27, he pledged full support for crypto development if re-elected, vowing to make the U.S. the “Bitcoin superpower of the world”.
Furthermore, on September 16, Trump and his son announced the creation of a new DeFi platform, World Liberty Financial, aimed at providing services like lending and digital asset storage.
This is why the crypto industry is clearly backing Trump. Contributions from the crypto industry to the 2024 U.S. presidential election have already reached a record-breaking $190 million. Meanwhile, major players in the industry, including the renowned venture capital firm Andreessen Horowitz (a16z) and the crypto exchange Coinbase, have also shown strong support for the Republican Party.
Fortunately, today’s outcome is a mutual agreement between the crypto market and Trump. With legitimate support from U.S. politics, every market participant can only imagine the vast potential of the cryptocurrency market in the future.
Time for Trump to Fulfill His Promises
If Trump’s shift in attitude toward Bitcoin reflects the interplay between politics and finance, then now is the time for him to fulfill the promises he made during his campaign:
On his first day in office, he will fire current SEC Chair Gary Gensler, keep every Bitcoin-related job in the U.S., and establish a Bitcoin and crypto presidential advisory council;
The U.S. will not sell a single Bitcoin (100% retention) and will create a strategic Bitcoin stockpile after he is elected;
He will commute the prison sentence of Silk Road founder Ross Ulbricht;
Bitcoin and cryptocurrency will surge in an unprecedented way if he is elected;
Bitcoin is not threatening the dollar; The behavior of the current U.S. Government is threatening the dollar;
The U.S. will become the “crypto capital of the planet and the Bitcoin superpower of the world”;
Bitcoin stands for freedom, sovereignty, and independence from government coercion and control;
He guarantees the Bitcoin community that, on his inauguration day, the anti-crypto crusade of Joe Biden and Kamala Harris will be over.
What lies ahead for the crypto landscape? Perhaps, as Coinbase protocol specialist Viktor Bunin said, crypto has won. The industry’s key objectives for the next steps include freeing Ross Ulbricht, firing Gary Gensler, ending “Operation Choke Point 2.0”, passing sensible stablecoin legislation, enabling physical redemptions, activating staking features for Ethereum ETFs, closing SEC lawfare investigations, and providing clear regulatory guidance for crypto.
As Coinbase CEO Brian Armstrong said, “Welcome to America’s most pro-crypto Congress ever.”
The post first appeared on HTX Square.
