Charles Hoskinson, co-founder of Ethereum, warns about Trump's love for the crypto industry and how it could have a detrimental impact on the crypto industry.
Charles has also expressed his concern over World Liberty Financial, a new decentralized finance platform backed by Donald Trump and his sons.
In an interview with CNBC, Charles said:
"Trump is launching a DeFi application, and that's scary to me as an industry because everything Trump does 'The Left' (democrats) hates with such a passion."
Trump's love for crypto could become a weapon of attack
Charles further predicted that Democrats may attempt to weaponize the institution of the state to slow down and target Trump's crypto platform, and this could complicate the regulatory landscape for the industry, potentially hindering its growth and development.
Hoskinson characterized the launch of this platform as potentially "scary" for the cryptocurrency industry, emphasizing the risks associated with political polarization.
Political polarization is the growing divide and stark difference in political beliefs, values and ideologies between groups, often leading to extreme positions and a lack of compromise.
In the case of World Liberty Financial, which is regarded as a decentralized finance (DeFi) application, could pose serious challenges for the industry, as everything Trump does is attacked and pulled down by the opposing political actors and parties.
"Neither Trump nor Kamala is good enough"
Charles also expresses his skepticism about the politics of both President Donald Trump and Vice President Kamala Harris.
He voiced concerns that neither Trump nor Harris has demonstrated a clear path forward for the crypto sector in the US, despite Trump's progressive stance towards the industry.
While he expressed his doubts that Trump could assemble a team capable of advancing the crypto industry, the Democratic Party is facing a generational divide regarding digital assets.
While senior leaders such as Elizabeth Warren and President Joe Biden have shown reluctance towards the industry, younger Democrats, including Ro Khanna, are more open to discussing fair regulatory measures.
Hoskinson expressed more confidence in the legislative branch of U.S policymaking, citing productive conversations with senators from both major parties, including Republicans Tim Scott and Cynthia Lummis and Demoncrat Ron Wyden.
Is Trump really bad for the crypto industry?
Despite his reservations for the presidential candidate, Charles still showed confidence in Trump's stance on crypto.
Charles said:
"Trump is certainly the favorite from a cryptocurrency perspective."
However, he points out that while Trump's approach appears opportunistic, he adds that a lasting change in the industry would require a broader coalition.
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