For the first time ever, cryptocurrency can play a role in choosing the next one President of the United States. As cryptocurrencies become more mainstream, cryptocurrency investors have emerged as a major new voting bloc.
Between 7% and 21% of Americans own cryptocurrencies — that’s 18 million on the low end, and about 50 million on the high end. According to research by cryptocurrency exchange Gemini, 73% say a candidate’s political stance toward the industry will influence their vote.
The potential for crypto voters to move the needle is especially noteworthy in swing states. Organizations like Stand with Crypto, a pro-crypto political action committee, are registering “crypto advocates” in battleground states. In fact, both Arizona and Georgia have three times as many such supporters as President Biden won in 2020.
“The number of people getting into digital assets is increasing every year. The product is here and it is not going away,” said Patrick Gearhart, head of banking operations for Telcoin Digital Bank. “Understanding voters and their needs will be vital for any politician.”
This growing influence is a reality that the cryptocurrency industry is looking to capitalize on in this election. FairShake, a PAC backed by major digital asset players like Coinbase and Ripple, has raised more than $200 million to help elect pro-crypto candidates. The next four years will play a crucial role in shaping regulation, so the industry is spending large sums of money.
“Ideally, management is not only pro-cryptocurrencies, but also knowledgeable,” Gearhart said. “A nimble management in this area will not only help daily users of digital assets, but also help regulators.”
Presidential candidates are taking notice. Donald Trump is actively courting the community, describing himself as the first pro-crypto leader. While he once called the space a scam, the former president pledged to create a bitcoin reserve and ease regulations. Trump even chaired the world’s largest bitcoin conference, though some cryptocurrency advocates question whether he will follow through on those promises.
In contrast, the Biden-Harris administration is generally viewed as anti-crypto. Regulatory actions and legislation that have been rejected by both parties have raised concerns among advocates, who feel current leadership does not fully understand or support the industry’s potential.
“The Biden administration will likely be remembered as one of the most politically unfriendly to the cryptocurrency industry,” said Todd Ruff, CEO of Autonomys, a decentralized data network. “The lack of clear regulatory guidelines has created uncertainty, stifled innovation and prompted some companies to exit the United States.”
Although Vice President Kamala Harris has engaged with cryptocurrency industry leaders, she has not announced any policies for the campaign. It has left many in the sector feeling uncertain about what a Harris presidency will mean for the future of cryptocurrencies.
“Trump has repeatedly used a more positive tone,” Rove said. “Neither candidate may be the cryptocurrency industry’s dream, but it remains to be hoped that one will be less of a nightmare than the other.”
While the 2024 election may be the first time the vote on cryptocurrencies matters, it is unlikely to be the last. Candidates who embrace this shift could find themselves shaping the future of the industry and their own political fortunes.
Kelly O’Grady
