The United States has become more friendly towards encryption. Can the overall market continue to rise?

Author: DeMan

As the 2024 U.S. presidential election approaches, the cryptocurrency market, especially the meme currency sector related to U.S. election politics, has shown significant growth and activity. In particular, PolitiFi sector tokens, such as TRUMP, MAGA and TRUMP2024, are closely related to former President Donald Trump, and their market performance is very outstanding, because Trump has recently made related operations to support the cryptocurrency field, and has gained widespread support from those involved.

Another significant trend related to this is the rapid change in the attitude of the Democratic Party and current President Biden towards cryptocurrency. In order to succeed in the election, the candidates have put down their posture and accepted areas that they were previously resistant to. Because the potential and strength of the cryptocurrency field are one of the forces they cannot miss.

Trump and the Republican Party’s attitude towards crypto assets has shown a 180-degree turn, which has affected the market

During Trump’s presidential term, he has shown obvious concerns about cryptocurrencies. Suspicion and distrust. In 2019, Trump publicly stated on Twitter that cryptocurrencies such as Bitcoin "are not real currencies" and that their values ​​are "highly volatile and based on air." However, since leaving the White House in 2021, Trump’s attitude towards cryptocurrencies has changed significantly, and as the 2024 election approaches, Trump’s attitude has changed even more significantly, a shift that not only affects His campaign strategy also had a profound impact on the cryptocurrency market.

1. Accepting cryptocurrency donations:

Republicans are extending a broader invitation to the cryptocurrency community. The Trump campaign announced that it will accept cryptocurrency donations. Supporters can donate through Coinbase Commerce products for donation.

The move signals Trump’s more aggressive embrace of cryptocurrencies, using them to attract support from younger voters and tech enthusiasts. And at a luxurious dinner hosted by Mar-a-Lago for his NFT supporters, Trump further emphasized his emphasis on cryptocurrency.

2. Policy and market impact:

The transformation of the Trump team is not just symbolic. There is also a push within the Republican Party for more cryptocurrency-friendly policies. Prominent Republican lawmakers such as Tom Emmer and Patrick McHenry are drafting legislation aimed at providing support to the cryptocurrency industry while limiting strict regulation by the Securities and Exchange Commission (SEC). Additionally, Trump supporters such as Vivek Ramaswamy and Ron DeSantis also pledged to pursue crypto-friendly policies during the campaign.

This series of moves indicates that if Trump is re-elected, he may promote a series of policies that are beneficial to the cryptocurrency industry. These policies could include appointing more open and pro-cryptocurrency regulators, such as former Coinbase Chief Legal Officer Brian Brooks or current SEC Commissioner Hester Peirce. These regulators may adopt more relaxed regulatory measures to promote the development and innovation of the cryptocurrency industry.

3. Political strategy and voter influence:

Trump’s support for cryptocurrency is not only a policy change, but also part of the campaign strategy. As the election season approaches, Trump has used cryptocurrencies as a weapon to attack the Biden administration, accusing the current administration of taking a hostile stance toward the cryptocurrency industry. SEC Chairman Gary Gensler has further angered the cryptocurrency community by pursuing stringent enforcement actions against multiple cryptocurrency companies during the Biden administration.

At the same time, Trump’s strategy also reflects the influence of cryptocurrencies among voters. A survey shows that more than 20% of voters in six key battleground states view cryptocurrency as an important issue. Another national survey showed that 51% of cryptocurrency owners support Trump, while 41% support Biden. This political polarization shows that cryptocurrencies are gradually gaining influence among voters and becoming an important issue in election campaigns.

Under Trump’s fierce offensive, Biden and the Democratic Party’s encryption policies and attitudes are completely passive

Trump regards the cryptocurrency field as a new weapon against Biden First, the Biden administration has previously taken a more cautious stance on cryptocurrency, emphasizing the protection of consumers and the stability of the financial system, and paying attention to environmental impacts. Due to the large number of users in the cryptocurrency field, Biden and the Democratic Party will certainly not give up on this part. votes, so now Biden and the Democratic Party have to follow up on this and also show a glimmer of goodwill towards the cryptocurrency field.

Faced with Trump’s active operations in the field of cryptocurrency, current President Biden and the Democratic Party have quickly adjusted their attitudes and policies towards cryptocurrency. A series of recent measures have shown that the Biden administration is actively pursuing cryptocurrencies. A positive shift in monetary policy.

1. Executive order and regulatory framework:

In 2022, Biden issued an important executive order instructing multiple federal agencies to coordinate the formulation of digital asset policies. The order highlights the risks posed by the rapid development of the cryptocurrency market, such as financial stability issues, data privacy and security concerns, and environmental impacts. The Biden administration recognizes the potential risks and opportunities of digital assets and seeks to ensure market stability and transparency by establishing a comprehensive regulatory framework.

To protect consumers and the stability of the financial system, the Biden administration has strengthened supervision of cryptocurrency trading platforms and service providers to ensure that these institutions comply with appropriate regulations and supervision. In addition, the Biden administration is also concerned about the environmental impact of cryptocurrency mining and exploring how to reduce its carbon footprint while supporting technological innovation.

2. Support the FIT21 encryption bill:

The Biden administration announced that if the FIT21 encryption bill is passed, he will not veto the bill and called on Congress to "comprehensive, "Balanced Regulatory Framework". This statement shows that the Biden administration supports the development of the cryptocurrency market while tightening regulations.

3. Youth voter strategy:

In order to win the support of young voters, the Biden campaign plans to hire meme managers to try to build a relationship with Generation Z voters by managing social media content and meme pages. connect. This strategy shows that the Biden administration recognizes the importance of cryptocurrency and digital culture to elections and hopes to increase its electoral support through interaction with young voters.

4. Internal differences and coordination:

Although the Biden administration has adopted a more cautious and pragmatic attitude towards cryptocurrency as a whole, there are also internal differences of opinion. Some Democratic lawmakers, such as Senator Elizabeth Warren, have taken a more skeptical and cautious approach to cryptocurrencies, emphasizing their potential risks to consumers and the financial system. However, other Democratic lawmakers support more friendly cryptocurrency policies, believing that this can help promote financial innovation and economic growth.

U.S. policy plays a key role in the direction of the cryptocurrency market, and the impact will be even greater after the election.

As the election season approaches, Biden and Trump have different opinions on cryptocurrency policy. The game demonstrates the increasingly close connection between politics and financial markets. Both candidates hope to win votes in this area by embracing cryptocurrencies, and this strategy has also had a profound impact on the development of the cryptocurrency market. Trump and Biden’s changes in cryptocurrency policy, the market Also responded quickly. In particular, the PolitiFi token sector, such as the MAGA coin, has surged in value by about 400% in the past month. This phenomenon reflects the market's sensitivity to political events and their impact on market dynamics.

This kind of activity in the cryptocurrency market not only demonstrates investors’ high attention to political events, but also reflects the unique market mechanism and potential of cryptocurrency as a new asset class. PolitiFi tokens offer investors a new way to invest and express political stances by combining the seriousness of political activism with the humor of meme culture.

In the context of the 2024 U.S. presidential election, Trump and Biden’s shifts in cryptocurrency policy demonstrate the growing connections between politics and financial markets. Both candidates hope to gain votes in this area by embracing cryptocurrencies, a strategy that has had a profound impact on the development of the cryptocurrency market. For investors and market observers, following the evolution of this trend will help understand the direction and potential opportunities of the cryptocurrency market in the future.