Is the cryptocurrency industry influential enough to sway election outcomes?

Author: Jeff Howard Source: coindesk Translation: Shan Ouba, Golden Finance

As the 2024 US election approaches, political polarization has once again become the focus. The division of American society remains serious, with almost half of the voters opposing each other. The outcome of the presidential election is difficult to predict, especially against the backdrop of the recent resurgence of the Democratic camp. The results of this election will have a significant impact on the future of the digital asset industry, so an important question emerges: Is the influence of the cryptocurrency industry enough to influence the election results?

The answer seems to be yes. Victory in elections depends not only on ideas, but also on money and mobilization capabilities. This is a portrayal of the political reality in the United States. Politicians can be influenced or even directly bought, and this election cycle marks the first time that the crypto industry has a well-funded and organized lobbying group to support its interests. According to followthecrypto.org, a political action committee (PAC) focused on cryptocurrency has raised $183 million to influence the 2024 election. Key players in Silicon Valley are using their wealth and influence to try to dominate future digital asset and AI policymaking.

Republican candidate Donald Trump has welcomed these efforts and pledged strong support for the crypto industry. His proposals include revising U.S. energy policy to make the United States a global leader in Bitcoin mining, ending "Operation Chokepoint 2.0," removing Securities and Exchange Commission (SEC) Chairman Gary Gensler from his position, and even establishing a national strategic "reserve" of Bitcoin. The crypto industry has responded enthusiastically and invested heavily in his campaign. However, whether Trump will follow through on these promises remains to be seen.

On the Democratic side, candidates have remained largely silent on cryptocurrencies. Despite the current administration's tough measures against the industry, many Democrats now acknowledge that SEC Chairman Gensler has become a political liability, especially in several key swing states where the opinions of young voters will influence the outcome of the election.

So why has the future of cryptocurrency regulation become such a hot political issue? The answer is simple: money. This is not only because of the huge amount of money being invested in this election, but also because of the emergence of Bitcoin and Ethereum ETFs, which have attracted growing institutional interest in the industry. Larry Fink, chairman and CEO of BlackRock, the world's largest asset management company, has become a major advocate for Bitcoin and blockchain technology, touting its potential benefits.

The crypto industry has come a long way, with more than 50 million Americans owning digital assets. Cryptocurrencies are inherently political and challenge the foundations of traditional centralized markets. The principles of decentralization, transparency, financial inclusion, autonomy, and ownership have profound implications for every aspect of our financial lives.

Politicians often chase money, while voters vote based on economic interests. Americans' preference for libertarian ideals is now intertwined with the struggle over the future of digital assets. The current political atmosphere is increasingly conducive to the development of reasonable regulations, and many pro-cryptocurrency bills are circulating on Capitol Hill.

Can this election finally push cryptocurrency into the mainstream? Given what’s at stake, it seems likely. It’s not unreasonable to be a single-issue voter in this situation, especially when your financial future is on the line. However, it’s worth considering whether this might turn into a classic case of “buy the rumor, sell the news.”