Donald Trump’s victory in the 2024 U.S. presidential election is raising new questions about the role cryptocurrency played in his return to the White House. With 312 electoral votes and a significant crypto-friendly backing, Trump’s second term is poised to see the rise of blockchain and digital assets as central players in the political landscape.
Over the past year, cryptocurrency has shifted from a fringe interest to a key political issue. The growing support for crypto-friendly candidates has reshaped Congress, with 18 pro-crypto senators elected and 266 pro-crypto candidates across the nation. This growing crypto influence, reflected in the increasing public awareness and acceptance of digital currencies, is now seen as a critical factor in the political process.
According to a Grayscale report from September 2024, awareness of cryptocurrency among voters reached 53%, up from 47% in December 2023. More notably, 56% of voters now say they’re more likely to support a candidate who is open to cryptocurrency — an increase from 48% just a year ago. With these shifting sentiments, it’s clear that cryptocurrency is playing a significant role in U.S. elections, and Trump’s victory appears to be no exception.
Crypto-Backed Campaigns and Strategic Donations
Cryptocurrency’s role in the 2024 election was not just about ideological support but substantial financial backing. Pro-crypto super PACs and individual donors pumped millions of dollars into critical congressional races, helping secure victories for candidates who supported crypto-friendly policies.
In Ohio, for example, Republican candidate Bernie Moreno benefited from $40 million in crypto-backed advertising support, helping him defeat Democrat Sherrod Brown, a vocal critic of crypto regulation. Across the country, crypto-funded PACs backed candidates in over 50 races, from Arizona to West Virginia, where Jim Justice clinched a victory after receiving $3 million in pro-crypto funding.
The crypto industry’s financial influence also extended to Trump’s campaign. Key figures, including the Winklevoss twins, Marc Andreessen, and Ben Horowitz, contributed a combined $10 million, boosting Trump’s total industry donations to $22 million. This financial power was essential in pushing Trump’s campaign forward, and as a result, his pro-crypto platform gained significant momentum.
Trump’s Crypto Promise: Direct Engagement with Voters
Trump’s approach to cryptocurrency was a key factor in energizing his base and expanding his reach beyond traditional conservative circles. His campaign promised to transfer the 207,000 bitcoins held by the U.S. Department of Justice to the Treasury as a strategic reserve, a move that particularly appealed to crypto holders. His stance in favor of decentralized finance (DeFi) also resonated with voters concerned about regulatory crackdowns, particularly from the SEC.
Slava Demchuk, CEO of AMLBot, noted that Trump’s focus on crypto allowed him to connect with younger, tech-savvy voters who felt overlooked by mainstream political rhetoric. By embracing crypto, Trump was able to galvanize a diverse demographic, including millennials, minorities, and men under 40, who were drawn to his promise of innovation and personal freedom.
A New Era for Crypto Regulation?
As Trump prepares for his second term, industry leaders are optimistic about what this means for cryptocurrency in the U.S. With a crypto-friendly Congress and a president willing to embrace blockchain technology, there is hope that clearer and more supportive regulations will emerge.
Experts predict that Trump’s administration will bring much-needed clarity to the regulatory environment, especially for decentralized finance projects and blockchain startups. Jakob Kronbichler, CEO of Clearpool, believes that “growth in DeFi” will be one of the key developments in the coming years, as regulatory pressures ease under a pro-crypto administration.
The possible replacement of SEC Chairman Gary Gensler is another area of speculation. Many in the crypto industry hope that a new leadership at the SEC will lead to a shift from investigating and restricting crypto to fostering innovation and supporting the industry’s growth.
Post-Election Confidence Boosts Crypto Market
Since Trump’s victory, the cryptocurrency market has experienced a surge of confidence. Bitcoin prices hit a high of $76,940 on November 7, 2024, and as of mid-November, they were hovering around $89,300. This market surge reflects a belief that the political environment will become more favorable for digital assets, with clearer regulations and increased support for crypto projects.
Michael Pospieszalski, CEO of MatterFi, observed that within just 36 hours after the election, the crypto industry saw a “shift in gears.” Deals started to flow more freely, venture capital funding began to unlock, and the overall atmosphere became more positive, a phenomenon he called the “Trump Bump.”
Conclusion: Cryptocurrency’s Growing Political Influence
The 2024 election marks a pivotal moment for the cryptocurrency industry in U.S. politics. As Nitin Gaur, co-founder of Stealth Startup, aptly put it, “Crypto became a voter agenda.” With a second term under Trump, the crypto industry is set to influence not just the political landscape but the future of finance itself. As Trump’s administration begins, the industry is poised to thrive, with expectations for growth and positive changes that could shape U.S. policies on digital assets for years to come.
