This November, the United States will elect a new president for the next four years. While Republican candidate Donald Trump has a clear pro-crypto stance, the outlook under a Harris administration appears somewhat bleaker.
Trump promised the crypto industry at a conference in Nashville a month ago that, if elected, he would fire Gary Gensler on day one, bring mining back to the U.S., adopt bitcoin as a strategic reserve, ban central bank digital currency (CBDC), and turn the nation into a "bitcoin superpower." How much of this the presidential candidate would actually implement remains unclear, but the overall tone is overwhelmingly positive. Kamala Harris, on the other hand, mentions the industry only sparingly and usually in the context of strict regulation. The stakes are high for U.S. companies.
Harris wants to "reset" relationship with crypto industry
The regulatory status of crypto assets in the United States has long been a controversial issue. The Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) are at odds over which agency should have oversight. Industry insiders often point to former MIT professor Gary Gensler, who has been nominated by the Biden administration to be chairman of the SEC in 2021, as the main driver of this regulatory uncertainty. In addition, other Democratic Party initiatives have fueled dissatisfaction among crypto representatives, with some even referring to a coordinated effort against the industry as "Operation Choke Point 2.0."
As a result, Harris will have to do a lot of work to win over industry representatives to a Democratic vote. In late July, Reuters reported on a plan to "reset relations with the crypto industry. The Harris campaign has scheduled strategic meetings with U.S. crypto companies. This week, a campaign adviser told Bloomberg in an interview that Harris wants the crypto industry to grow.
"She will support policies that ensure emerging technologies and this type of industry can continue to grow. [...] Obviously, she believes that one of the key requirements is a stable set of rules, similar to the rules of the road." - Brian Nelson, Senior Advisor to the Harris Campaign
Can these promises be trusted?
Vague assertions aren't enough. Unlike Trump, Harris, as the current vice president, already has the opportunity to take the first steps toward a more crypto-friendly government. Actions must be followed by words - especially when the signals are pointing in a different direction. According to the Washington Reporter, the Democrat is considering promoting SEC Chairman Gary Gensler to Treasury Secretary. And in her recent speeches, Harris has not mentioned the crypto industry at all. It appears that Operation Choke Point 2.0 would continue virtually unchecked under a Harris administration.