Look, I’m far from being political. I do not fully support former President Donald Trump’s policies or his entire vision for the United States. However, as a strong advocate for crypto, I must acknowledge the upside to Trump potentially winning the election in November. For now, there is a solid chance that will happen — which is hardly surprising, considering he almost became a martyr in Pennsylvania.
The end of the crusade
At the risk of belaboring this point, the Biden administration hasn’t exactly been crypto’s greatest ally. It’s quite rare to see a piece of tech demonized as much as it has been under the Democratic Party’s tenure. Banks are scared, regulators are on the warpath, and adoption has stalled. But here's the thing: Trump’s election could change all of that relatively quickly.
I’m not going to argue that Trump has always been pro-crypto. A quick Google search will display from January 2019 when, during his first term in the Oval Office, he was quite explicit in not being a “fan of bitcoin and other cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air.” Ouch.
Related: Trump's RNC speech gave tech enthusiasts hope for the future
Fast forward to July 2024, and he’s scheduled to speak at Bitcoin Nashville. In June, he had a meeting with Bitcoin (BTC) miners behind closed doors, with the intention of creating a US monopoly over the industry. The winds are shifting, and crypto needs to piggyback on the political clout that is now unexpectedly sitting at the table.
Even if Trump doesn't change a single crypto policy, just putting the handbrake on the prosecution would be huge for our industry. It would end the crusade, give banks some slack in deciding who they want to work with, and open the floodgates for mainstream adoption. America has — in recent history — always been a bulwark against crypto. Now, however, the last point of (futile) resistance might fall. With this potential shift in the political landscape, crypto providers should be prepared.
Keep your sails up
So what does this mean for crypto businesses? Keep your sails up. I expect this change in sentiment not to happen in the November election, but now. Yes, we will have the election and the fabled “Santa Claus rally” happening within weeks of each other, but the old cliché of “buy the rumor and sell the news” has never been more on point. You need to be ready for a potential surge like you've never seen before. Here's what crypto companies should be doing.
Firstly, beef up your infrastructure. Be prepared for a flood of new users that might overload your servers.
Related: Donald Trump’s crypto platform is missing one thing
Secondly, get your compliance in order. Make sure you're rock solid on existing regulations and licensing so you're on the front foot when sentiment changes.
Finally, look to partner with highly compliant banking partners. You want to be ready to take advantage of the new tailwinds in the industry without unstable and unsure fiat suppliers slowing you down.
Remember, this isn't just about existing crypto enthusiasts. We could see a whole new wave of retail investors — consumers who think, "I voted for Trump, now I'm going to buy Bitcoin." We could very easily see another gold rush towards all-time highs.
The Bitcoin factor
While these broader market trends are important, let's not forget about the immediate catalyst on the horizon: Bitcoin Nashville. I’ll be there, and I’m fascinated to see how Trump can hold the famous Nakamoto Stage for 30 minutes.
Sure, this is undoubtedly an integral part of his campaign to win over voters. But the timing could not be better. BlackRock — the world’s largest asset manager — is holding more than $20 billion of Bitcoin in assets under management thanks to the approval of Bitcoin ETFs in January BlackRock will also be participating in the Nashville conference. Momentum is on the up, and all of the big players — from corporations to politicians — are pushing in the right direction.
Trump being pro-crypto is good for crypto. We can hold his policies in contempt all we want, but everyone in this industry should pay attention. Crypto needs to be open to riding the political tides when onboarding the first billion users. Hopefully, we’ve also learned we do need TradFi for the foreseeable future, and we need more mainstream adopters. We can't afford to commit our resources to fight against an anti-crypto crusade anymore. We should focus those resources on growing the industry.
So get ready. Make sure your compliance is top-notch. Work with highly compliant banking partners. Be prepared for a potential bull run like you've never seen before. Politics and crypto sentiments are intertwining, whether we like it or not. This could be what unlocks the next level of crypto adoption and growth.
Adam Bialy is a founder and CEO of Fiat Republic, a regulated banking and payments platform. He previously held senior management positions at OpenPayd, Sainbury’s, Ukash (acquired by Paysafe), and Raiffeisen Bank, among others. An avid bitcoin investor, Bialy has also held several advisory roles in the space, most notably at Ramp Network.
This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
