With Kamala Harris now the frontrunner for the Democratic nomination, the crypto neighborhood is searching for to know the place the Vice President stands regarding the trade.
There’s not a lot to go off. Harris hasn’t spoken in any respect about cryptocurrency, blockchain know-how or non-fungible tokens (NFTs) publicly, and the few oblique messages she’s sending don’t paint a transparent image both.
For one, billionaire entrepreneur Mark Cuban stated in an interview that Harris’s marketing campaign reached out to him with questions on cryptocurrency.
Though nothing is confirmed, Cuban sees this as a hopeful signal. He believes she might be extra open to tech improvements like crypto and synthetic intelligence.
“The suggestions I’m getting, however actually not confirmed by the VP, is that she will likely be much more open to enterprise, [artificial intelligence], crypto and authorities as a service,” Cuban advised Politico. “Altering the insurance policies modifications the message and lets everybody know she is in cost and open, actually, for enterprise.”
But in addition, David Bailey, CEO, Bitcoin Convention at present confirmed Harris is not going to be attending the Bitcoin Convention in Nashville this week, after hypothesis had mounted on Tuesday that her marketing campaign was in talks with occasion organizers about going.
Bailey tweeted, “I’m sorry, however you don’t get to simply screw our trade over for 4 years, push operation choke level, enlist Gensler and Warren as your Champions, after which simply fake you’re hip with Bitcoin. Main democrat donor advised me Kamala says privately “Bitcoin is cash for criminals”
Harris’s Tech Background
Harris has deep ties to the tech world, which may form her views on cryptocurrency.
Earlier than changing into a senator in 2017, she was California’s Legal professional Common, the place she targeted on regulating the tech trade. Throughout this time, she constructed sturdy connections in Silicon Valley, making buddies with influential folks like Laurene Powell Jobs and having household ties to Uber’s Chief Authorized Officer, Tony West.
Former Meta government Sheryl Sandberg on Monday referred to as her “the strongest candidate to steer our nation ahead.”
“Vice President Kamala Harris has already made historical past as soon as — changing into the primary Black and South Asian girl to carry her workplace, and she is going to do it once more in November,” Sandberg posted on Instagram. “She is an completed chief, a fierce advocate of abortion rights, and the strongest candidate to steer our nation ahead. I am thrilled to help her.”
Netflix government chairman Reed Hastings in an X submit on Tuesday congratulated Harris and stated that “now it’s time to win.”
Harris’s rise to vp in 2020 was seen as a constructive transfer for tech firms and Silicon Valley. Nevertheless, she has stored mum on the subject of cryptocurrency.
State of Crypto Regulation
Whereas Harris hasn’t made statements on crypto herself, the Biden administration’s stance was loud and clear. Regulatory businesses together with the Securities and Trade Commision (SEC) ramped up enforcement actions, whereas refusing to supply the trade with clear steerage.
In February 2023,the SEC reached a $30 million settlement with Kraken over its crypto staking program, underscoring the SEC’s dedication to implementing securities legal guidelines on stalking companies. The subsequent month in March, the SEC issued a Wells Discover to Coinbase and by June the SEC filed a lawsuit towards Binance.
Ethereum additionally emerged as a degree of competition between the SEC and the Commodity Futures Buying and selling Fee (CFTC) in 2023. The CFTC views Ethereum futures merchandise as commodity belongings, whereas the SEC was decided to categorise ETH as a safety.
In April 2024, Consensys, a U.S.-based blockchain software program firm, sued the SEC to acquire a courtroom ruling that ETH is a commodity.
Some Democrats supported the Monetary Innovation and Expertise for the twenty first Century (FIT 21) invoice, which gained bipartisan backing and led many to imagine the Biden administration was warming as much as cryptocurrencies.
Nevertheless, this optimism was short-lived. Issues took a shocking flip when President Joe Biden finally determined to veto laws geared toward dismantling the SEC’s Employees Accounting Bulletin (SAB) No.121 rule, regardless of 11 Democrats becoming a member of 48 Republicans in favor of it.
SAB 121 mandated that monetary establishments holding crypto belongings should file them as liabilities, making certain they maintain a one-to-one reserve of various belongings and preserve stringent inside data. This rule makes it difficult and costly for banks to supply large-scale crypto custody companies.
Alternative to Change
The crypto neighborhood is raring to listen to extra from Harris. The Digital Chamber, a digital asset commerce affiliation, has urged her to help crypto-friendly insurance policies if she turns into the Democratic nominee. They argue that cryptocurrency is a non-partisan concern and deserves help from each side.
“There’s a public notion that the get together holds a damaging viewpoint of digital belongings, largely as a result of Biden/Harris Administration’s notably cautious and at occasions hostile method to those transformative applied sciences,” the group wrote in a letter to Harris on Monday. “Your anticipated candidacy for President represents a chance to vary that notion.”
In the meantime, others like Gemini co-founder Tyler Winklevoss aren’t satisfied that Harris would help Bitcoin and the crypto trade general.
“Speak is reasonable. She would wish to begin by instantly firing [SEC Chairman] Gary Gensler, withdrawing all SEC enforcement actions towards good actors, and ending Operation Chokepoint 2.0,” he stated. “She received’t do that so she received’t stand an opportunity in successful again the crypto voting block. Time for change.”
In the meantime, Trump’s marketing campaign is already accepting Bitcoin and different cryptocurrencies for donations, gaining growing help from trade leaders like Cathie Wooden, and Elon Musk.
Lately, at an occasion in Mar-A-Lago, he responded to considerations concerning the U.S. struggling a crypto mind drain. “We’re going to embrace them if we wish them to remain,” he stated.
His feedback have fueled optimism amongst crypto traders. Moreover, Trump’s marketing campaign strikes, like naming J.D. Vance — a senator who holds Bitcoin — as his Vice Presidential candidate, additional cements his pro-crypto stance.
Trump’s supportive public statements have set a excessive bar on what the crypto trade can now count on from a presidential candidate. All eyes are on Harris now to see if she will meet these expectations.
