Former US President and Republican presidential candidate in the election later this year, Donald Trump, has once again come out in support of cryptocurrencies.
Donald Trump once again encourages cryptocurrencies
In a post shared on his social media platform, Truth Social, the former president revealed his plans to support cryptocurrency companies, after it was previously reported that innovative companies in the digital currency ecosystem are fleeing the country due to fears of unfavorable regulations.
In a post shared by Messari founder Ryan Selkis, Donald Trump said that the support his next administration will give to cryptocurrencies will extend to the broader industry. Trump called the new ecosystem a “new and fast-growing industry,” a description that many believe shows a true understanding of the industry.
— Ryan Serkis (d/acc) 🇺🇸 (@twobitidiot) May 25, 2024
Throughout his campaign, Donald Trump has touted his love for cryptocurrencies in more than just words: Not only has he publicly stated his support for the new asset class, but he has also begun accepting donations to his campaign in cryptocurrencies such as Bitcoin.
In addition to this, Donald Trump launched a series of non-fungible tokens (NFTs) and sold most of them, storing them in digital currency in the process. Events in the digital currency ecosystem have made President Joe Biden less popular among crypto-native Americans.
It was during his tenure that the Securities and Exchange Commission (SEC) filed a major lawsuit against Ripple Labs. The case is still ongoing, but is in the remediation stage, with the regulator seeking $2 billion in damages. In addition to this, the SEC has also filed lawsuits against Binance, Coinbase, and Kraken, alleging that the tokens they support are securities.
Biden may reverse course.
Considering the industry trends and regulatory handling of cryptocurrency companies, the Biden administration appears to be making an important shift.
While the SEC had anticipated designating and declaring Ethereum a security and potentially rejecting applications for a spot Ethereum ETF, the regulator reversed course at the last minute and approved eight different offerings earlier this week.
Many analysts see the unexpected move as political, underscoring the argument that cryptocurrencies could be a deciding factor in this year's US presidential election.
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