A new report sheds light on the cryptocurrency industry's is intensifying political efforts, targeting both major presidential candidates ahead of the 2024 election.
What Happened: CNBC reports about crypto advocates' growing frustration with SEC Chair Gary Gensler's regulatory approach and are seeking to influence policy at the highest levels.
Former President Donald Trump, seizing on this discontent, has recast himself as a crypto supporter. At a recent San Francisco fundraiser hosted by venture capitalist David Sacks, Trump promised to "get out of the way of innovation" if re-elected.High-profile crypto executives, including Ripple's (CRYPTO: XRP) Stuart Alderoty and Coinbase's (NASDAQ:COIN) Paul Grewal, attended the event.
According to the report, industry figures are floating potential SEC chair nominees for a future Trump administration, such as:
- J. Christopher Giancarlo, former CFTC chairman.
- Heath Tarbert, another former CFTC chair.
- Dan Gallagher, former SEC commissioner and current Robinhood (NASDAQ:HOOD) chief legal officer.
- Paul Atkins, former SEC commissioner under George W. Bush.
Gallagher reportedly stated he's "honored" to be considered, while Atkins described the current SEC as "a mess," indicating openness to a potential role.
On the Democratic side, President Biden's allies are raising concerns about the administration's perceived anti-crypto stance. At a recent meeting with White House Chief of Staff Jeff Zients, hosted by venture capitalist John Doerr, crypto enthusiasts warned that Gensler's approach could push voters toward Trump.
Also Read: Trump Winning The Election Would Be 'Major Catalyst' For Crypto To Surge, Says Investment Expert
Why It Matters: This political maneuvering highlights the growing importance of digital asset policy in national politics. The crypto industry's efforts to shape potential SEC leadership under the Trump administration could significantly impact future regulatory approaches.
The names being floated for the SEC chair suggest a preference for leaders with a more crypto-friendly stance. Giancarlo and Tarbert's experience at the CFTC could bring a different regulatory perspective to the SEC, potentially favoring a commodities-based approach to crypto regulation.
Gallagher and Atkins, with their SEC backgrounds, might pursue policies more aligned with traditional securities regulation while potentially being more open to crypto innovation.
The Biden administration faces a delicate balancing act. While defending its current approach as supporting innovation while protecting consumers, it must address concerns from crypto-friendly allies about losing support to Trump.
What's Next: As the election nears, both campaigns will likely face increased pressure to clarify their stances on cryptocurrency regulation. The industry's ability to influence these positions could have far-reaching implications for the future of digital assets in the United States.
This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo: Shutterstock
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