30s Summary
The cryptocurrency market surged following Donald Trump’s victory in the 2024 presidential elections. Interest in cryptocurrencies has been growing in the US, with Trump championing the digital asset industry during his campaign. Research from HTX Ventures suggests the election outcome could influence future crypto laws, market forecasts and impact crypto companies. Furthermore, a national survey showed over half of voters favouring candidates knowledgeable about crypto. Trump’s administration heralds the prospect of a clearer regulatory framework and possibly more crypto companies remaining in the US.
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Hey guys, did you know that the cryptocurrency market skyrocketed after Donald Trump’s win in the 2024 presidential elections? Many folks reckon his victory is gonna be a game-changer for the crypto world. Cool research published by HTX Ventures looks into how the elections might influence future laws, market forecasts, and possibly affect crypto companies in the coming years.
Wondering how crypto got so popular this election season? Well, interest in cryptocurrencies in the U.S. has been surging each year, and this year we saw major events that made it a hot topic during the elections. A few crucial points pretty much guarantee crypto stayed at the center of debates and on the campaign trail.
First off, there’s the current fiscal policies which have painted a pretty disappointing picture. Increasing federal debt and growing budget deficits can mess up the financial markets. The options to tackle such enormous debt are limited, and inflating the debt away might be the U.S. government’s only way out. But guess what? Bitcoin is seen as a great counter to inflation, especially for the hard-pressed working class. Being decentralized and scarce, it’s strategically significant in times of debt and inflation issues.
Then there are stablecoins. These things have only been around for a decade, but guess what? They’ve become one of the top 20 holders of U.S. Treasury securities, even surpassing Germany. This means they’re now a key player in the U.S. financial system by swallowing up large amounts of Treasury securities and providing extra cash support for the economy.
Voters are definitely getting more into cryptocurrencies, too. A national survey by The Harris Poll showed that over half of voters were more likely to vote for a candidate who knew their stuff about crypto, rather than one who didn’t. Crypto interest also shot up in swing states, with Pennsylvania and Wisconsin jumping to fourth and fifth place in Google crypto searches.
So how did the election affect crypto? During his campaign, Trump made a big show of his interest in the digital asset industry. He claimed he wanted to turn the U.S. into the “crypto capital of the planet and the Bitcoin superpower of the world”. He even paid for burgers with Bitcoin during his campaign! His promises, which included creating a Strategic Bitcoin Stockpile and appointing a pro-crypto chair, were meant to show how keen he was on crypto.
Despite these bright promises, don’t get too excited just yet – they could take years to come about or be dropped due to their high cost. Still, it’s clear that the election affected the crypto market in a significant way.
Prediction markets, like Polymarket, raked in most of their volume from the election, showing they can be one of the winners in an election. Other crypto companies developing Bitcoin financial tools are also more motivated due to the election outcome and the potential for a more relaxed regulatory environment.
Trump’s administration also means a clearer regulatory framework and a more relaxed environment that will likely see more crypto companies choosing to stay in the U.S., instead of running away elsewhere. Some companies like Circle Internet Financial, Kraken, Fireblocks, Chainalysis, and eToro, might even go public in the next few years, according to Bloomberg.
Remember, stay smart and do your own digging when it comes to investing. Don’t just take our word for it! And never forget, investing always comes with some risk, so be prepared.