{"id":11351,"date":"2024-03-06T13:26:10","date_gmt":"2024-03-06T11:26:10","guid":{"rendered":"https:\/\/forklog.com\/en\/from-censure-to-pledges-to-protect-bitcoin-what-u-s-politicians-say-about-crypto-and-why\/"},"modified":"2024-03-06T13:26:10","modified_gmt":"2024-03-06T11:26:10","slug":"from-censure-to-pledges-to-protect-bitcoin-what-u-s-politicians-say-about-crypto-and-why","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/from-censure-to-pledges-to-protect-bitcoin-what-u-s-politicians-say-about-crypto-and-why\/","title":{"rendered":"From censure to pledges to protect bitcoin: what U.S. politicians say about crypto\u2014and why"},"content":{"rendered":"<p>Some U.S. politicians lambast the crypto industry; others champion bitcoin with equal fervour. Experts, for their part, cite the coming U.S. presidential election as one of the main forces shaping the crypto market in 2024.<\/p>\n<p>Before the race for the White House saturates the airwaves, ForkLog reviewed what U.S. politicians have said about digital assets and how they justify their positions.<\/p>\n<h2 class=\"wp-block-heading\"><strong>Crypto\u2019s detractors<\/strong><\/h2>\n<p>In 2016, when bitcoin\u2019s <span data-descr=\"all-time high\" class=\"old_tooltip\">ATH<\/span> was below $1000, then U.S. president Barack Obama likened the first cryptocurrency to \u201ca Swiss bank account in your pocket.\u201d While listing the technology\u2019s drawbacks, he also stressed its revolutionary character.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Obama: If govt. can\u2019t crack encryption, then people are walking around \u00abwith a Swiss bank account in their pocket.\u00bb<a href=\"https:\/\/t.co\/PkZlq9sOl7\">https:\/\/t.co\/PkZlq9sOl7<\/a><\/p>\n<p>\u2014 CNBC Now (@CNBCnow) <a href=\"https:\/\/twitter.com\/CNBCnow\/status\/708414144181972992?ref_src=twsrc%5Etfw\">March 11, 2016<\/a><\/p><\/blockquote>\n<p> <script async=\"\" src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p>\n<cite>\u201cIf, from a technical point of view, it is possible to build an impenetrable device or system with encryption so strong that there is no key and no door at all, then how do we apprehend a child-pornography distributor? How do we uncover a terrorist pilot?\u201d<\/cite><\/p><\/blockquote>\n<p>He added that if the government cannot \u201ccrack bitcoin,\u201d it cannot ensure \u201ceven something as simple as tax enforcement.\u201d<\/p>\n<p>In 2021, former secretary of state and 2016 presidential candidate Hillary Clinton voiced concern about the crypto market\u2019s growth because of its potential to \u201cundermine the role of the dollar as the world\u2019s reserve currency.\u201d<\/p>\n<figure class=\"wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\">\n<div class=\"wp-block-embed__wrapper\">\n<iframe loading=\"lazy\" title=\"Great Power Competition: The Emerging World Order\" width=\"500\" height=\"281\" src=\"https:\/\/www.youtube.com\/embed\/OuNhMuEGk0M?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe>\n<\/div>\n<\/figure>\n<p>In 2023, sitting U.S. president Joe Biden accused House Republicans who support Donald Trump of refusing to close \u201ctax loopholes to help wealthy crypto investors.\u201d<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p>\n<cite>\u201cA crypto investor, unlike an investor in stocks or bonds, can sell digital assets at a loss to reduce their tax burden, and then repurchase the same cryptocurrency the very next day,\u201d the 2024 budget plan stated.<\/cite><\/p><\/blockquote>\n<p>That same year, the administration released a report pointing to the risks digital assets pose to citizens and financial stability.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p>\n<cite>\u201cCryptocurrencies [\u2026] are not an effective alternative to fiat [\u2026] instead, their innovations are primarily aimed at creating artificial scarcity to support prices. Many of them have no fundamental value. This raises the question of the role of regulation in protecting consumers, investors and the rest of the financial system from digital-asset-related panics, crashes and fraud,\u201d the document said.<\/cite><\/p><\/blockquote>\n<h2 class=\"wp-block-heading\"><strong>Crypto\u2019s proponents<\/strong><\/h2>\n<p>In May 2023, U.S. presidential candidates Robert F. Kennedy Jr. and Vivek Ramaswamy began accepting bitcoin as campaign donations.<\/p>\n<p>Kennedy backed digital gold and criticised the <span data-descr=\"U.S. Securities and Exchange Commission\" class=\"old_tooltip\">SEC<\/span> and the <span data-descr=\"Federal Deposit Insurance Corporation\" class=\"old_tooltip\">FDIC<\/span> for a \u201cwar on cryptocurrencies\u201d that, he argued, led to the country\u2019s banking crisis. The nephew of America\u2019s 35th president also opposed CBDCs.<\/p>\n<p>If elected, he promised to back the national currency with bitcoin and exempt income from bitcoin transactions from taxation. In the summer, Kennedy Jr. also disclosed buying 14 BTC for his children. Block head and Twitter founder Jack Dorsey endorsed the politician.<\/p>\n<p>Florida governor and Republican presidential candidate Ron DeSantis pledged to protect bitcoin and criticised CBDCs. Vivek Ramaswamy agreed, calling the instrument \u201ca serious threat to free speech.\u201d He also criticised the SEC and crypto regulation.<\/p>\n<p>Former U.S. president Donald Trump also <a href=\"https:\/\/u1f987.com\/en\/news\/donald-trump-vows-to-block-cbdc-in-the-us\">opposed<\/a> a CBDC. He vowed never to allow the <span data-descr=\"U.S. Federal Reserve System\" class=\"old_tooltip\">\u0424\u0420\u0421<\/span> to launch a digital dollar, noting the technology\u2019s accompanying \u201cdebanking and political-weaponisation risks.\u201d<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p>\n<cite>\u201cAs your president, I will never allow the creation of a CBDC. Such an asset would give the federal government absolute control over your money. That would be a dangerous threat to freedom \u2014 I will not let that happen in the United States.\u201d<\/cite><\/p><\/blockquote>\n<p>According to Trump, bitcoin\u2019s current development will <a href=\"https:\/\/u1f987.com\/en\/news\/trump-discusses-bitcoins-future-in-the-us-and-reveals-his-preferred-currency\">require<\/a> the authorities to introduce dedicated regulation, since the first cryptocurrency has already \u201ctaken on a life of its own.\u201d<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p>\n<cite>\u201cMany people are adopting it. I see more and more people wanting to pay with bitcoin, which is interesting. Some regulation will probably be needed. But I think I could coexist with it,\u201d the former president said.<\/cite><\/p><\/blockquote>\n<p>Even so, the politician is not inclined to embrace bitcoin as a means of payment in the United States. Trump stressed that he has \u201calways liked the dollar.\u201d<\/p>\n<p>Whole groups of U.S. politicians oppose a digital dollar. In February 2024, five U.S. senators <a href=\"https:\/\/u1f987.com\/en\/news\/us-senators-renew-efforts-to-ban-cbdc-over-privacy-concerns\">introduced<\/a> the \u201cCBDC Anti-Surveillance State Act,\u201d which would bar the Fed from distributing the asset directly to citizens.<\/p>\n<p>Its authors\u2014Republican politicians Ted Cruz, Bill Hagerty, Rick Scott, Ted Budd and Mike Braun\u2014fear a central-bank digital currency would be programmed to surveil ordinary people by monitoring their transactions.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p>\n<cite>\u201cThe Joe Biden administration is salivating at the thought of encroaching on our freedom and invading citizens\u2019 privacy to monitor their personal spending habits, so Congress must make clear that the Fed has no authority to implement a CBDC,\u201d Cruz said.\u00a0<\/cite><\/p><\/blockquote>\n<p>In 2023, U.S. politicians repeatedly criticised SEC chair Gary Gensler, who accused the crypto industry of failing to comply with regulatory requirements.<\/p>\n<p>In April, during a House appearance, he could not answer whether Ethereum should be classified as a security. Gensler was accused of deliberately driving the crypto industry out of the country \u201cinto the arms of the Communist Party of China.\u201d\u00a0<\/p>\n<p>Dissatisfaction with the SEC chair\u2019s handling of digital assets came from both Republicans and Democrats. He was also criticised for failing to take pre-emptive action to avert FTX\u2019s collapse, to draw lessons from it and to set clear rules for crypto firms.<\/p>\n<p>Throughout 2023, Republicans repeatedly introduced bills to remove Gensler and restructure the SEC. Such proposals surfaced in April, June and August.<\/p>\n<h2 class=\"wp-block-heading\"><strong>Why it matters<\/strong><\/h2>\n<p>According to a Grayscale report, candidates\u2019 embrace of cryptocurrencies reflects the forecast that <span data-descr=\"born roughly between 1997 and 2012\" class=\"old_tooltip\">Gen Z<\/span> and <span data-descr=\"born roughly between 1981 and 1996\" class=\"old_tooltip\">millennials<\/span> will make up a significant share of voters (about 44%) in the 2024 election. Younger people trust traditional institutions less and are more committed to new technologies.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p>\n<cite>\u201cA candidate\u2019s views on cryptocurrencies matter not only because the president runs the country, but also because he is responsible for appointing the heads of more than 50 independent federal agencies that can influence various aspects of the market,\u201d Grayscale noted.\u00a0<\/cite><\/p><\/blockquote>\n<p>Bitcoin will be framed not simply as \u201can accessory for government officials and politicians, but as a matter of America\u2019s national security,\u201d the report\u2019s authors suggested.<\/p>\n<p>Coinbase, Ripple, Circle, Kraken and other bitcoin-market players have allocated a total of $78m to support the Fairshake political action committee, which backs pro-crypto U.S. presidential candidates.\u00a0<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p>\n<cite>\u201cLeveraging the transformative potential of the American crypto community, Fairshake seeks to elevate leaders who are ready to champion innovation and navigate the complexities of responsible regulation in the digital age,\u201d Fairshake said.\u00a0<\/cite><\/p><\/blockquote>\n<p>Ripple CEO Brad Garlinghouse said his company intends to \u201clead the effort together with other industry leaders\u201d to support candidates who advocate for digital-asset regulation.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p>\n<cite>\u201cThe U.S. cannot continue to be in the back seat on the global stage. Overregulation (especially by the SEC) is actively pushing the jurisdiction in the wrong direction, and other countries are taking full advantage of the lack of U.S. leadership,\u201d he added.<\/cite><\/p><\/blockquote>\n<p>a16z founder and managing director Chris Dixon noted Fairshake\u2019s ambition to elect leaders who \u201csupport thoughtful regulation.\u201d\u00a0<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p>\n<cite>\u201cThere is a battle in Washington for the future of blockchain technologies: some politicians intend to ban them, while others believe innovation should face no obstacles. Neither option will allow the technology to fully realise its potential and reorient the future of the internet from big tech to the people who use it,\u201d he wrote.<\/cite><\/p><\/blockquote>\n<p>Coinbase CEO Brian Armstrong said the industry now \u201chas a sizable war chest to elect pro-crypto candidates in 2024.\u201d He also called the upcoming election a turning point for the crypto industry and its legal status.<\/p>\n<p>According to <a href=\"https:\/\/www.politico.com\/news\/2023\/11\/20\/crypto-super-pac-2024-candidates-00128032\">Politico<\/a>, Fairshake has backed 13 candidates and already spent $1.2m on television ad campaigns. All the spots note that the politicians are working to \u201cbring the jobs of the future\u201d and build \u201cthe next generation of the internet.\u201d\u00a0<\/p>\n<p>In a <a href=\"https:\/\/www.coinbase.com\/blog\/california-voters-stand-with-crypto\">report<\/a>, Coinbase said 27% of California\u2019s adult population\u2014about 8.2m people\u2014own digital assets. Roughly 86% agreed that the financial system needs transformation; 78% said it is important for politicians to support innovation.<\/p>\n<p>Nearly four in five digital-asset holders in California are more likely to back a candidate who supports the crypto industry as a job creator and a source of U.S. geopolitical strength.<\/p>\n<p>Nationally, 51% of adult millennials and Gen Z expressed the same view. The report says that in the 2024 election they will be an active minority, and by 2028 they will form a majority of voters.<\/p>\n<p>About 83% of respondents to the <a href=\"https:\/\/cryptoforinnovation.org\/poll-finds-crypto-voters-are-a-key-swing-bloc-in-2024-election\/\">Crypto Council for Innovation<\/a> poll would prefer a candidate who seeks clear crypto rules so investors retain choice and the industry can continue to grow and create jobs.<\/p>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"474\" src=\"https:\/\/u1f987.com\/wp-content\/uploads\/Naskolko-vazhno-chtoby-prezident-i-Kongress-zanimalis-voprosom-kriptovalyut_-1024x474.png\" alt=\"Naskolko-vazhno-chtoby-prezident-i-Kongress-zanimalis-voprosom-kriptovalyut_\" class=\"wp-image-227552\" srcset=\"https:\/\/u1f987.com\/wp-content\/uploads\/Naskolko-vazhno-chtoby-prezident-i-Kongress-zanimalis-voprosom-kriptovalyut_-1024x474.png 1024w, https:\/\/u1f987.com\/wp-content\/uploads\/Naskolko-vazhno-chtoby-prezident-i-Kongress-zanimalis-voprosom-kriptovalyut_-300x139.png 300w, https:\/\/u1f987.com\/wp-content\/uploads\/Naskolko-vazhno-chtoby-prezident-i-Kongress-zanimalis-voprosom-kriptovalyut_-768x355.png 768w, https:\/\/u1f987.com\/wp-content\/uploads\/Naskolko-vazhno-chtoby-prezident-i-Kongress-zanimalis-voprosom-kriptovalyut_-1536x710.png 1536w, https:\/\/u1f987.com\/wp-content\/uploads\/Naskolko-vazhno-chtoby-prezident-i-Kongress-zanimalis-voprosom-kriptovalyut_-2048x947.png 2048w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Data: CCI.<\/figcaption><\/figure>\n<p>Although Republicans more often speak up for cryptocurrencies, anti-CBDC and pro\u2013sensible-regulation initiatives also come from Democrats. Support for or criticism of digital assets has not hardened into party positions.<\/p>\n<p>Experts and analysts agree that crypto\u2019s role in U.S. politics is growing. Crypto companies are likely to keep lobbying in Washington and, perhaps, one day the country will see an active supporter of digital assets in the Oval Office.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Some U.S. politicians lambast the crypto industry; others champion bitcoin with equal fervour. Experts, for their part, cite the coming U.S. presidential election as one of the main forces shaping the crypto market in 2024. Before the race for the White House saturates the airwaves, ForkLog reviewed what U.S. politicians have said about digital assets [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":11350,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"","news_style_id":"","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[1144],"tags":[1280,842,26],"class_list":["post-11351","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-longreads","tag-elections","tag-politics","tag-usa"],"aioseo_notices":[],"amp_enabled":true,"views":"13","promo_type":"","layout_type":"","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/11351","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=11351"}],"version-history":[{"count":0,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/11351\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/11350"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=11351"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=11351"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=11351"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}