Support for Donald Trump is gaining momentum in the United States, as he has embraced cryptocurrencies earlier than his rival, the incumbent President Joe Biden. While Trump receives million-dollar donations from industry participants, Biden is attempting to shift the situation in his favor.
Current Landscape
With 137 days until the election, Polymarket odds suggest a 56% chance of Trump winning. Biden’s chances at the time of writing stand at 34%.
Trump’s support is growing amid his statements regarding the digital asset sector. At the Libertarian Party’s national convention, Trump emphasized that the US should lead the crypto industry. He also promised to pardon Silk Road founder Ross Ulbricht if elected.
In June, the presidential candidate dubbed himself the “crypto president” and criticized Democrats’ regulatory attempts, pledging to protect mining in the US and globally.
Earlier, Trump began accepting donations for his campaign in Bitcoin, Ethereum, Solana, and other digital currencies. Some industry representatives have already taken advantage of this opportunity.
Support and Criticism
On June 20, Gemini co-founder Tyler Winklevoss announced his support for Trump and donated $1 million in Bitcoin (15.47 BTC at the time of the transaction).
According to Bloomberg, Tyler and Cameron Winklevoss were refunded part of their donations. Their contributions exceeded $844,600 — the maximum amount Trump’s committee can accept from an individual. The Gemini founders received the difference back.
I just donated $1 million in bitcoin (15.47 BTC) to @realDonaldTrump and will be voting for him in November. Here’s why:
Over the past few years, the Biden Administration has openly declared war against crypto. It has weaponized multiple government agencies to bully, harass, and… pic.twitter.com/qOQSpmanBR
— Tyler Winklevoss (@tyler) June 20, 2024
“Over the past few years, the Biden Administration has openly declared war on the crypto industry. […] The current administration’s actions have been nothing short of unprecedented abuse of power, aimed solely at political gain at the expense of innovation, American taxpayers, and the American economy,” wrote Winklevoss.
He specifically highlighted pressure from the OCC and the FDIC on banks — agencies allegedly “give ‘recommendations’ and instruct” organizations not to finance industry participants.
“The fallout has extended not only to crypto companies but also to individuals working in them. Personally, I have lost several bank accounts because I own cryptocurrency and my investment firm,” added the Gemini co-founder.
Winklevoss also cited actions by the SEC as another issue. According to him, under the Biden administration, the agency “has not developed a single rule for the industry that would help any of its participants understand how to navigate the regulatory framework for this new asset paradigm.”
In January 2023, the Commission accused Gemini and crypto lending platform Genesis Global Capital of selling unregistered securities. At the time, Tyler Winklevoss called the regulator’s claims “super unconvincing” and a “manufactured parking ticket.”
In a new post, he pointed to the SEC’s stance that nearly every digital asset is a security. This, he noted, “has given the regulator carte blanche to initiate legal action against any crypto project and company in the United States.”
“Donald Trump is a supporter of Bitcoin, cryptocurrency, and business. This is not even up for debate. Anyone who claims otherwise is severely misinformed, delusional, or lying,” he concluded.
His brother Cameron also announced a $1 million donation in Bitcoin.
I also just donated $1 million in bitcoin (15.47 BTC) to @realDonaldTrump and will be voting for him in November.
Here’s the TL;DR — President Trump is:
Pro-Bitcoin
Pro-Crypto
Pro-BusinessAnd he will put an end to the Biden Administration’s war on crypto. Onward! https://t.co/r6iDP7BdbE
— Cameron Winklevoss (@cameron) June 20, 2024
“He [Trump] will put an end to the Biden administration’s war on cryptocurrency,” Winklevoss expressed confidence.
Following this, Gemini announced its support for pro-crypto candidates.
We now facilitate crypto contributions for pro-crypto candidates. Any U.S. campaign that is interested in accepting donations in crypto can work with us by emailing → campaigns@gemini.com
We’re proud to empower pro-crypto policymakers in 2024 pic.twitter.com/LZybaP56m4
— Gemini (@Gemini) June 20, 2024
Attempt to Catch Up
In June, sources from The Block reported that Biden’s inner circle warned his team of the risk of losing the election if they “continue to remain silent on cryptocurrency and do not get up to speed.”
Billionaire investor Mark Cuban shares a similar view. He noted SEC Chairman Gary Gensler’s stance on digital assets, suggesting it could “literally cost Joe Biden the election.”
According to the publication, the campaign team has begun discussions about accepting crypto donations through Coinbase Commerce.
The importance of supporting the crypto industry has likely become apparent. On June 20, Kraken CEO Dave Ripley told CNBC that the current administration is “softening” its stance on digital assets.
“When we entered this year, the executive branch through the SEC was sharply negative towards cryptocurrencies. But there were many supporters in the US government. […] And I think over the last few, maybe two months or so, we’ve seen a kind of strong support — and now bipartisan support,” Ripley noted.
As an example, he cited the FIT21 bill, developed by the House Agriculture Committee and the House Financial Services Committee, aimed at clarifying the SEC and CFTC authority over the crypto market.
The proposal introduces the term “digital commodity” for assets that do not meet the definition of a security, placing them under CFTC jurisdiction. Gensler criticized it, stating the document “will create new regulatory gaps and dismantle decades of precedent regarding oversight of investment contracts.”
Despite this, the US House of Representatives passed the bill. Prior to this, the Senate approved a resolution nullifying Staff Accounting Bulletin 121 (SAB 121). It effectively prohibited regulated companies, including banks, from holding digital assets on their balance sheets. However, Biden vetoed the document.
Nevertheless, Ripley believes the industry “has seen some softening of the executive branch.” He also noted Trump’s stance on cryptocurrencies.
“[…] his comments on Bitcoin and cryptocurrency have come recently, so I hope he is on this learning journey. When people really take the time to study [digital assets], it almost always leads to a positive outcome,” said the Kraken CEO.
In early June, Coinbase allocated $25 million to support the Fairshake political action committee, increasing the organization’s budget to $160 million. Ripple and Andreessen Horowitz contributed similar amounts.
According to the website of the nonprofit advocacy group Stand with Crypto, it has attracted over 1 million “crypto supporters” and raised more than $87 million in donations since its launch in August 2023.
According to the organization’s data, Biden’s rating on digital assets is D, while Trump’s is the highest at A.
Back in May, Cardano co-founder Charles Hoskinson claimed Biden wants to destroy the crypto industry in the US.
Uniswap suggested that the current head of state could lose the upcoming election due to his administration’s dismissive attitude towards the cryptocurrency market.