30s Summary
Bitcoin is set to gain political influence following the US elections, according to Greg Cipolaro, the head of research at NYDIG. Bitcoin value has soared 84% to a high of $82,000 post-Trump’s win, as Republicans tend to back crypto-friendly laws. This could see crypto and blockchain entering mainstream finance by 2025. Cipolaro also expects measures against crypto firms to dial back under new leadership at the SEC. The prediction is for more crypto-friendly faces in key roles, enhancing support for banks offering digital asset custody services.
Full Article
NYDIG says Bitcoin is set to play a major role politically, following election victories by Donald Trump and the Republican party. They suggest people need to sit up and pay attention to the cryptocurrency — it won’t be shrugged off by investors for much longer. The head of research at NYDIG, Greg Cipolaro, stated on November 11: “Bitcoin has moved into the political spotlight — not having it in your portfolio might be risky business.”
This year, Bitcoin’s value has spiked by 84%, hitting all-time highs of close to $82,000, following Trump’s win in the US presidential race. And the Republicans, who are known for supporting crypto-friendly legislation, are likely to hold majorities in both the Senate and House.
Cipolaro suggests that the crypto sector now sees itself as rubbing shoulders with the top brass in government, which could help bring cryptocurrency and blockchain into mainstream finance. He adds that by 2025, we can probably expect changes in top roles across major departments, opening up opportunities for more crypto-friendly laws and regulations.
Trump has already hinted at changes, planning to let go of Gary Gensler, the Chair of the Securities and Exchange Commission (SEC). The legal boss at Robinhood Markets is being eyed for the position.
Under Gensler’s watch, the SEC has filed multiple lawsuits against crypto businesses. Cipolaro expects these to be dialed back significantly under new leadership, with the possibility of settlements allowing companies to operate within clearer rules, some lawsuits dropped altogether, and potential actions against Robinhood, Crypto.com, Consensys, Uniswap, and Immutable ignored.
The expectation is that fresh faces will bring a more pro-crypto perspective to the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation, and the Treasury, along with a new Attorney General. As a result, regulators could come to support banks offering custody services for digital assets, including stablecoins.