Faryar Shirzad, Chief Policy Officer of Coinbase, the largest cryptocurrency exchange in the U.S., expects that once Trump is inaugurated, the U.S. will quickly pass regulatory legislation regarding the cryptocurrency industry.
Trump is known for his campaign promises supporting cryptocurrency, and the Republican Party has also gained control of the House and Senate. Shirzad believes this should make the process of approving cryptocurrency bills smoother.
"We have the most pro-cryptocurrency Congress in history, and a very pro-cryptocurrency president will take office," Shirzad told CNBC at an event organized by the Coinbase-supported advocacy group Stand With Crypto in the UK last week.
He said, "I believe this combination should ultimately allow 50 million Americans who own cryptocurrency to express their interests and voices in policy."
Shirzad made the above remarks as the U.S. Congress is considering passing two key pieces of legislation related to cryptocurrency.
One is the Financial Innovation and Technology for the 21st Century Act, initiated by the Republicans, which aims to establish a legal framework for digital assets. This bill passed in the House earlier this year.
One is the Clarity for Payment Stablecoins Act, which aims to establish a regulatory framework that provides licenses to issuers of stablecoins (tokens pegged to the value of fiat currencies like the U.S. dollar). The stablecoin bill has not yet passed a vote in the House.
Shirzad told CNBC that he feels "optimistic" that this legislation will pass, but noted that the likelihood of cryptocurrency bills being considered during the so-called "lame duck" period (when Biden is still president) is "very small."
Even if Congress does not give the green light to cryptocurrency bills this year, Shirzad expects significant progress on both pieces of legislation by 2025, with hopes of passage.
Trump's election victory marks a significant win for the cryptocurrency industry and highlights the power of cryptocurrency lobbying groups.
According to data from the Federal Election Commission, political action committees (PACs) related to cryptocurrency—organizations that pool member donations to fund campaigns—and other groups associated with the industry have raised over $245 million.
Meanwhile, the Coinbase-supported Stand With Crypto Alliance has developed a scoring system to determine whether candidates in the House and Senate elections are for or against cryptocurrency. According to Stand With Crypto, nearly 300 pro-cryptocurrency legislators will take office in the House and Senate.
Last month, Gary Gensler, the chairman of the U.S. Securities and Exchange Commission (SEC), announced that he would resign on January 20, the day of Trump's inauguration. Trump has long promised to fire Gensler, who has taken a tough stance on cryptocurrency regulation during his tenure as SEC chairman.
Shirzad stated that he cannot predict who Trump's SEC chairman nominee will be, but said the incoming president "is very good at picking people who share his vision, and he has a very comprehensive platform on cryptocurrency."
"I believe that as long as he chooses someone who can drive change and shares his vision, it will benefit the United States, society, and those who own cryptocurrency," he added.
Article reposted from: Jin Shi Data