As the U.S. presidential election draws nearer, the cryptocurrency industry is contemplating how political outcomes might shape the future of digital assets. However, many insiders suggest that the election’s impact on the global crypto market, particularly in places like Singapore, will be minimal. While some point to former President Donald Trump as a more crypto-friendly candidate, others argue that the broader global movement toward decentralized finance is far more influential than any U.S. political shift.

Trump: A Crypto-Friendly Candidate?

Donald Trump’s association with cryptocurrency has drawn considerable attention. He has made several pro-crypto statements and was even a keynote speaker at the Bitcoin Conference in Nashville in July. During his speech, Trump promised to prevent the U.S. government from selling its bitcoin holdings and even hinted at plans to position the U.S. as the “crypto capital of the planet.” From a cryptocurrency perspective, Trump’s rhetoric has made him an appealing candidate for some in the industry.

Charles Hoskinson, co-founder of Ethereum, acknowledged Trump’s appeal within the crypto community, stating, “Between [Vice President Kamala] Harris and Trump, Trump is certainly the favorite from a cryptocurrency perspective.” Hoskinson’s comments highlight Trump’s perceived support for digital currencies compared to other political figures. However, he also downplayed the idea that the U.S. political environment would have a decisive influence on the global crypto market.

The World Moves On, Regardless of U.S. Policy

Hoskinson, speaking on CNBC’s Street Signs Asia at the TOKEN2049 conference in Singapore, emphasized that the global cryptocurrency market is evolving independently of U.S. regulatory stances. “The reality is, regardless of if the U.S. is pro-crypto or not, the world is moving on,” he said. Countries like Singapore and those in the European Union have already implemented comprehensive regulatory frameworks for cryptocurrency, signaling that the industry’s growth will continue with or without American leadership.

“As an American, it would be nice to see our country get back into the race and build things,” Hoskinson added, “but regardless, it’s not going to change the reality that the world will be decentralized.” This perspective underscores a belief among many crypto advocates that decentralized technologies, by their nature, are less reliant on any one country’s policies.

The Harris Factor: Continuity Over Change?

On the other hand, Anthony Scaramucci, founder of SkyBridge Capital and a vocal supporter of Vice President Kamala Harris, suggested that her approach to cryptocurrency would likely be similar to Trump’s, should she win the presidency. “I think you’ll start to see her flesh out her economic policies and where she stands on cryptocurrency regulation, and I’m very optimistic,” Scaramucci said during an interview on Squawk Box Asia.

However, despite Trump’s pro-crypto rhetoric, Scaramucci expressed caution. He described Trump as unpredictable, noting that it is difficult to determine how far he would go in supporting digital currencies if he were to return to office. “It’s hard to know which direction he’s going to go,” Scaramucci said, pointing to Trump’s political volatility as a potential wildcard.

A Broader Consensus in Congress

Beyond the presidential race, Jeremy Allaire, CEO of Circle, a digital currency company, argued that cryptocurrency regulation is becoming a bipartisan issue. Allaire noted that Congress has shown increasing support for the crypto industry, with lawmakers on both sides of the aisle recognizing the importance of digital currencies for U.S. competitiveness.

“No matter who wins the White House, Congress itself is set to act,” Allaire said. “The reason for that is that these are technologies that the United States needs to compete and win in.” This sentiment reflects a growing consensus that the U.S. must maintain its position in the global crypto landscape, regardless of who occupies the Oval Office.

Money Flows Into U.S. Politics

Despite the claims that U.S. politics may not significantly alter the global crypto landscape, the industry has still been active in shaping the election outcome. According to data from the Federal Election Commission, compiled by crypto market analyst James Delmore, cryptocurrency individuals and firms have donated over $190 million to various candidates and political action committees (PACs) ahead of the election. Notably, contributions have been more balanced between Republicans and Democrats than in previous cycles, though more funding has gone to Republican candidates who oppose Democratic policies.

Global Crypto Markets Unfazed by U.S. Politics

Some, like Arthur Hayes, former CEO of BitMEX, dismissed the notion that U.S. political shifts would have any meaningful impact on global cryptocurrency markets. “Bitcoin has gone from zero to what it’s worth now with no clear regulations, no acceptance by governments. So why do we need it now? It’s irrelevant,” Hayes said, highlighting the resilience of the crypto market in the face of regulatory uncertainty.

In essence, while U.S. politics may shape domestic regulations, the global cryptocurrency market seems poised to continue its evolution, largely indifferent to any political changes in Washington.

(Adapted from CNBC.com)

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