Former President Donald Trump trails Kamala Harris on Polymarket, but her chances of winning the 2024 US presidential election have increased to 52%. Trump’s crypto ambitions are in jeopardy as the market has more confidence in a Harris victory.
Kamala Harris leads Trump
According to Polymarket, Trump’s chances have dropped to 47% as of today. Harris’s chances have increased amid concerns about her financial policies, especially cryptocurrency. Even if she doesn’t touch digital assets, her victory could still impact crypto. World Liberty Financial (WLFI) and Trump’s Bitcoin reserve plan could fail.
The token sale under SEC Rule 506(c) Regulation D is important for the WLFI initiative. Accredited investors can purchase unregistered securities without the legal barriers under this regulation.
Given the current regulatory landscape under the Biden administration and SEC Chairman Gary Gensler, this legal structure is risky. WLFI could be targeted by the SEC, which has been actively attacking Ripple, Coinbase, and Binance.
Hostile Environment for Cryptocurrencies
A Kamala Harris administration could maintain strict SEC regulations. Harris’s support for Democrats’ anti-crypto stance signals that Trump’s crypto initiative could be in trouble. Her efforts to reset crypto have also failed.
WLFI could face more scrutiny and regulation under Gary Gensler or a similar SEC boss. Since the project sells unregistered securities, concerns could be heightened.
Trump has proposed a Bitcoin strategic reserve fund if re-elected, while Harris’ campaign has not committed to such a commitment. On September 18, Democrats called the FIT21 and anti-SAB 121 measures “harmful” and MAGA-driven during the SEC’s political crypto bias hearing.
Democrats remain anti-crypto, as their recent statements show. However, Stuart Alderoty, CLO of Ripple, remains enthusiastic about crypto regardless of the election outcome. Trump could be spared if Harris does not crack down on other crypto businesses.