Trump is not the only one celebrating the victory, the crypto world is also happy

The inhabitants of Cryptoland have erupted in celebrations and joyful bickering after Donald Trump, the self-styled “crypto president”, was elected to return to the White House on Wednesday morning.

Under the Democratic administration led by President Joe Biden, cryptocurrency companies have felt persecuted by US financial regulators, denying them access to essential services such as banking. Democratic presidential candidate Kamala Harris, current vice president, was seen by crypto loyalists as an accomplice by proximity and a probable replicator of this strategy. Harris never declared his intentions towards the crypto industry. But a Trump victory marks the beginning of a “promising chapter,” they note.

Crypto is the presidential banner

“This election has been completely existential for crypto in the US. The first response is relief. We have been creating companies for a long time with one hand tied behind our back. I can’t explain how difficult it is,” says Nic Carter, general partner of the digital asset-focused venture capital firm Castle Island Ventures. He adds that under the Trump administration a much friendlier reception from regulators is expected, as well as legislation that establishes specific rules for cryptocurrency companies.

However, if the Republican were to incorporate bitcoin into the US government’s balance sheet, defenders of the asset speculate that it could fuel demand for bitcoin among other world powers, which would further inflate the price; which rose to historic highs after Trump’s victory was confirmed. In short, it rains on them. “A simple cessation of hostilities would have been immensely positive, but we got something superior: an openly pro-crypto candidate. It couldn’t be better,” Carter celebrates.

Some of the largest crypto companies, including the crypto exchange Coinbase and the issuer of stablecoin Circle, insisted throughout the 2024 election cycle that crypto did not have to become a partisan issue. Cameron and Tyler Winklevoss, co-founders of the Gemini cryptocurrency platform, each donated $1 million to Trump, as did Jesse Powell, co-founder of the Kraken exchange. Marc Andreessen and Ben Horowitz, whose venture capital firm, a16z, has invested billions of dollars in cryptocurrency companies, publicly supported Trump’s run for president.

“The crypto capital of the planet”

“We are on the brink of a new American Renaissance,” Tyler Winklevoss tweeted on X, after it became clear that Trump had defeated Harris. During the campaign, Trump did everything he could to win their sympathy. In July, speaking to thousands of bitcoiners At a conference in Nashville, Tennessee, Trump sang the bitcoin anthem, promising to consolidate the “major bitcoin mining power,” establish a “national bitcoin reserve,” and appoint a bitcoin advisory council if he was re-elected. Trump claimed he would make the US the “crypto capital of the planet.”

In October, the former president went so far as to launch his own cryptocurrency platform, World Liberty Financial, which his family markets as a way to “make finance great again.” The platform is set to provide peer-to-peer lending services of some kind, although the Trumps have provided few concrete details. “If you were a single-issue voter who cared about the growth of sound money through bitcoin, Trump was the clear choice,” suggests Peter McCormack, host of the podcast What Bitcoin Did.

Inside a boot camp for cryptocurrency startups

Andreessen Horowitz is betting big on cryptocurrencies. This spring, the venture capital firm trained a new crop of founders in hopes of proving that the technology is for more than just scams and speculation.

A field in which Harris did not offer much

By contrast, Harris’ 2024 election platform included no mention of cryptocurrencies, and she made only a single reference in a speech to donors in New York City, it was reported. Bloomberg: “We will promote innovative technologies such as AI and digital assets, while protecting consumers and investors. We will create a safe business environment with consistent and transparent rules.” The hint at “taking a public stance on cryptocurrencies” was interpreted by industry insiders as a sign that Harris’ presidency would represent a continuation of Biden’s bad times.“We didn’t see any evidence that he was going to moderate his stance at all,” Carter says.

Members of the cryptocurrency industry who support Democrats were left in an awkward position; Although they aligned with Harris’s policy, it was conceivable that Trump’s victory would be a more beneficial outcome for the sector. “As a crypto entrepreneur, I am excited by the prospect of a bull market,” says Jonathan Padilla, one of the organizers of Crypto4Harris, a coalition of left-leaning crypto industry members. “For crypto in isolation, Trump could be a quicker sugar rush,” Padilla adds, even if the president loses interest later.