Former President Donald Trump was known as “America’s first crypto president” during his time in office, with his administration approving the introduction of Bitcoin futures contracts in 2017. Chris Giancarlo, a former CFTC commissioner, highlighted Trump’s reputation in the crypto industry, with the launch of regulated Bitcoin futures being a significant milestone during his presidency. The Chicago Mercantile Exchange (CME) also joined CBOE in offering Bitcoin futures trading in 2017, helping to establish Bitcoin’s price in US dollars.
Cryptocurrency was not a politicized issue in 2017 when Trump took office, with regulatory innovation being a focus for the CFTC commissioners. However, in the years since then, crypto has become a potential political focal point in the upcoming presidential election. With Trump expressing support for crypto and mentioning his positive views on it, the industry may see increased attention and involvement from political figures as the election approaches.
Trump’s views on crypto have evolved over time, with him initially criticizing cryptocurrencies in 2019 for their volatility and lack of inherent value. Concerns about their potential use in criminal activities were also raised by Trump. Some in the crypto industry are concerned about Joe Biden’s stance on crypto, while others are hopeful for favorable legislation under his administration. The ongoing debate over crypto regulation between the SEC and CFTC, as well as bipartisan legislation in Congress, reflects the uncertainty and complexity of regulating cryptocurrencies.
Charles Hoskinson, Cardano’s founder, criticized Biden for hindering the crypto industry due to regulatory uncertainties. On the other hand, Kyle Bligen from the Chamber of Progress sees potential for positive crypto laws if Biden is re-elected. The SEC and the CFTC have clashed over jurisdiction in the crypto industry under Biden’s administration, while courts continue to grapple with determining whether digital assets should be classified as commodities or securities. The outcome of these debates and regulatory challenges will have significant implications for the future of cryptocurrencies in the US.
Overall, Trump’s presidency marked a milestone in the crypto industry with the approval of Bitcoin futures contracts and his evolving views on cryptocurrencies. As the upcoming presidential election approaches, crypto is becoming a more prominent issue in politics, with both Trump and Biden having supporters and critics within the industry. The regulatory challenges and debates surrounding cryptocurrency regulation highlight the need for clear and consistent policies to ensure the growth and stability of the crypto market in the US. The outcome of these discussions will shape the future of cryptocurrencies and their role in the financial system.
