The future of America’s bitcoin business will largely depend on the goal of November’s presidential election. Former President Donald Trump laid out his ambitious goals for making America the” crypto funds of the planet” and the” coin power of the world” at the Nashville, Tennessee event in 2024.
In addition to its metaphorical importance, Trump’s appearance at the meeting and his pro-crypto plan are traditional firsts among big political candidates. Trump’s program includes establishing a Strategic National Bitcoin Stockpile, appointing a crypto-friendly regulation table, firing Securities and Exchange Commission Chairman Gary Gensler, and ending the Biden-Harris government’s “anti-crypto crusade”.
In stark contrast to the Biden-Harris government’s approach toward bitcoin, Trump’s platform had energize the crypto market and advertise its development.  ,
SEC Chairman Gensler, a Biden-Harris management appointee, is leading the charge against crypto. The SEC, under Gensler’s command, brought a report number of police actions against crypto market participants in 2023 and imposed$ 281 million in fines from communities in 2023 only. The crypto market will be subject to an astounding$ 2.89 billion in fines through 2023, according to the SEC.
Gensler has repeatedly targeted business and stakeholders in the cryptocurrency sector, but it has n’t followed strict regulations. According to the Howey test, the majority of the SEC’s enforcement actions focus on the question of whether cryptocurrency qualifies as a” security” under U.S. law.
No Explicit SEC Rules
There is no obvious SEC rules or act refuting Gensler’s claim that cryptocurrencies may be regulated as stocks. Numerous judges have criticized the SEC for providing unambiguous direction. A distinctive example occurred in an SEC actions against Binance, where U. S. District Court Judge Amy Berman Jackson questioned the SEC’s piece approach, asking,” Where’s the SEC been? … Why are we doing this on a coin-by-coin, case-by-case, judge-by-judge dispute… as opposed to issuing a clause that tells anyone’ this is it?'”
The crypto company’s hatred for Gensler was apparent at the 2024 Bitcoin Conference. In his speech, Trump pledged to flame Gensler on “day one”. The audience burst into applause. Trump repeatedly repeated the refrain, which was met with even louder applause and chants of” Trump!” Trump! Trump”!
National Stockpile, Regulatory Board
Trump proposed creating a significant stockpile of Bitcoins through consolidation as well as the accumulation and retention of the asset through constitutional seizures, along with his replacement for Gensler. By acquiring and holding Bitcoins in resources, the U. S. may become protected against possible crypto uncertainty, while establishing the U. S. as a leading force in the global Bitcoin business.
Trump even intends to appoint crypto-friendly advisors for board positions on crypto-related websites. The table will be responsible for creating and implementing open laws specifically designed for the crypto industry. By selecting users who are experienced and friendly of modern assets, Trump’s governmental board would stand in stark contrast to the current SEC’s extreme regulation-through-enforcement program.
Vance’s Stance
Trump’s pro-crypto platform is already manifesting into action. Trump became the first major presidential candidate to begin accepting donations in the form of cryptocurrency in May 2024. Additionally, Trump’s selection of Sen. J. D. Vance, R-Ohio, a cryptocurrency proponent, as his running mate also reinforced the ticket’s commitment to supporting the crypto industry. Vance’s 2022 financial disclosures included Bitcoin holdings between$ 100, 001 and$ 250, 000.
If Trump’s plans take effect, they could provide much-needed stability and growth to the crypto industry, which has been stunted by regulatory uncertainty and aggressive enforcement under the Biden-Harris regime. And these changes might not need to be necessary for the crypto industry. Trump said at the Bitcoin conference on Saturday,” The persecution ends and the weaponization ends against your industry, and as long as I’m in the Oval Office.”
Jonathan Fahey is a partner at the law firm Holtzman Vogel, where Oliver Roberts works as an associate.
