Grayscale: A look at U.S. presidential candidates’ crypto attitudes

Author: Will Ogden Moore, Grayscale; Compiled by: Deng Tong, Golden Finance

Following President Biden’s “laser eye” Super Bowl post, this feels like a timely update for our election tracking. With the U.S. approving a spot Bitcoin ETF last month, the crypto asset class is arguably more important than ever — especially in the context of the U.S. presidential election. For the first time this election cycle, the crypto asset class was mentioned in a U.S. presidential primary debate.   A recent Harris Poll survey on behalf of Grayscale underscores this political relevance, as half of young voters, who own a higher proportion of cryptocurrencies than stocks, would consider a candidate’s stance on cryptocurrencies before casting their vote.

With Bitcoin rising to its highest price in two years just weeks away from March’s crucial Super Tuesday, where does each candidate stand relative to the crypto asset class?

As of February 12, there are four major party candidates left: President Joe Biden (Democrat), Dean Phillips (Democrat), former President Donald Trump (Republican) ) and Nikki Haley (Republican). In addition, outside the two major parties, opinion polls regard independent Robert F. Kennedy Jr. as a potential competitor, with an approval rating of more than 10% in the general election.  

2024 U.S. Presidential Election Candidates’ Statements on Cryptocurrency

As of February 13, President Biden currently has an approval rating of 71% among his party. The Biden administration signed an executive order on ensuring the responsible development of digital assets. Additionally, Biden favors exploring a CBDC and has proposed a 30% tax on the cost of electricity to mine Bitcoin. Meanwhile, Democratic challenger and newcomer Dean Phillips (currently polling at 4%) advocates for a “nuanced understanding” and a “balanced regulatory approach” to cryptocurrencies, hoping to ensure regulation does not stifle cryptocurrency innovation.

Many Republican candidates dropped out of the race in January. Notably, crypto asset class stalwart Vivek Ramaswamy ended his campaign and subsequently endorsed Trump (currently polling at 75% in the Republican primary). The former president later took a negative stance on CBDCs in late January, crediting Ramaswamy for cryptocurrency policy guidance.   Although Trump called Bitcoin and cryptocurrencies a “scam” when he was president in 2019, he has since released a digital collection on the Bitcoin blockchain. Still, it remains to be seen whether his policy shift toward CBDCs or willingness to use blockchain technology will lead to a change in tone for the entire crypto asset class. Meanwhile, Republican candidate Nikki Haley (currently polling at 17%) has yet to publicly share her views on cryptocurrencies.  

Meanwhile, independent Robert Kennedy Jr. called cryptocurrencies a “major engine of innovation.” He previously unveiled a plan to “free Bitcoin from capital gains tax” and spoke at the Bitcoin 2023 conference. While he may be the most outspoken supporter of the crypto asset class among the remaining candidates, his path to victory remains unclear as an independent has not won a U.S. presidential election in modern history.  

In addition to becoming part of the national political discourse, Bitcoin itself has also gained momentum, rising more than 118% in the past year.

Looking ahead, Grayscale believes that Bitcoin may continue to have favorable conditions, including a possible interest rate cut by the Federal Reserve and the expected Bitcoin halving in April. As the November election approaches, it will be interesting to see whether these tailwinds have an impact on the political focus on Bitcoin and the crypto asset class, especially in the context of timely global and national macro events.