As 2024 draws to a close, cryptocurrency has had a great year for both advocates and opponents of the space. One side supports the technology and wants to push it forward, while the other remains cold to it or views cryptocurrency as harmful.
Santa Claus: Mainstream cryptocurrency advocates
Donald Trump
U.S. President-elect Donald Trump has emerged as a supporter of Bitcoin and cryptocurrency this year, proposing the creation of a Bitcoin reserve fund and promising that the U.S. will be the 'cryptocurrency capital' of the world.
His speech at Bitcoin 2024 in Nashville was a pivotal moment for his campaign's cryptocurrency policy as he reshaped the narrative around BTC adoption in political circles.
His views in 2021 changed dramatically when he stated that Bitcoin 'is like a scam' and does not 'like it because it is another currency competing with the dollar.'
Nayib Bukele
El Salvador President Nayib Bukele has supported cryptocurrency adoption by continuing to maintain BTC's status as the country's legal tender and building blockchain into its economy.
A $1.4 billion loan agreement with the International Monetary Fund (IMF) saw Bukele's government agree to halt some Bitcoin-related activities they had undertaken, but the National Bitcoin Office stated they would 'continue to buy one Bitcoin each day' and would not sell any Bitcoin they hold.
Hester Peirce
Dubbed 'Crypto Mom,' U.S. Securities and Exchange Commissioner Hester Peirce has been praised by the cryptocurrency community for her opposition to the agency and her support for clarity in its approach to digital assets.
Peirce has pushed for reforms within the SEC to create policies that support the long-term growth of the cryptocurrency industry and unleash its potential innovations.
Brian Armstrong
Coinbase CEO Brian Armstrong has led cryptocurrency advocacy efforts in 2024, collaborating with lawmakers on cryptocurrency and promoting support for cryptocurrency in the U.S., UK, and Australia through the Stand With Crypto lobbying group.
Coinbase has also engaged in a legal battle with the SEC and has recently attempted to push for a movement urging cryptocurrency companies to stop working with law firms that hire former SEC litigation attorneys.
Vitalik Buterin
Ethereum co-founder Vitalik Buterin has gradually expanded the boundaries of blockchain capabilities to further promote decentralization and cryptocurrency innovation.
From proposing changes to Web3 wallets to enhance security and privacy to defending against quantum computers that can break encryption, Buterin has consistently pushed for cryptography in finance and methods to protect it this year.
Senator Cynthia Lummis
Senator Cynthia Lummis is a strong advocate for cryptocurrency on Capitol Hill, proposing the idea of a U.S. government BTC investment strategy and supporting BTC in mainstream policy discussions.
In November, Lummis stated that the U.S. Treasury should convert a portion of its 8,000 tons of gold reserves into BTC to create a strategic cryptocurrency reserve.
She told Bloomberg that the immediate impact of this conversion on the U.S. government's balance sheet would be 'neutral,' instead of spending about $90 billion to buy BTC at market price.
Michael Saylor
MicroStrategy founder and Bitcoin speculator Michael Saylor has led the charge for public companies to adopt BTC as their primary treasury reserve asset, also reaping huge profits from it.
MicroStrategy's massive Bitcoin holdings amount to 439,000 BTC — over 2% of the total BTC — driving the company to surpass the value of well-known firms like Nike and Starbucks. Saylor also tried to involve Microsoft but failed, though it was quite an effort.
The Grinches: Undermining and obstructing cryptocurrency
U.S. Securities and Exchange Commission (SEC)
In 2024, the SEC, under Chairman Gary Gensler, has gradually ramped up its crackdown on cryptocurrency companies through lawsuits and enforcement actions, adding further instability to the industry.
Gensler will resign on January 20, 2025, but after his term ends, Gemini co-founder Tyler Winklevoss said that no apology could 'repair the damage' that Gensler and his SEC have caused to the cryptocurrency industry.
UK FCA
The UK's financial regulator has also continued to tighten regulations on the cryptocurrency industry — similar to the SEC across the Atlantic — enforcing rules that the local industry claims stifle innovation and push cryptocurrency companies to more friendly jurisdictions.
The FCA recently warned about illegal platforms such as Solana's memecoin project Retardio and the memecoin generator Pump.fun. Both platforms have been accused of providing financial services without proper authorization, and Pump.fun has been banned by the regulator in the UK.
Sahil Arora
Regarded as a memecoin master, Sahil Arora rose to fame in 2024 for launching several celebrity-endorsed memecoins and then being harshly condemned by some of those very celebrities.
He is accused of collaborating with celebrities like Caitlyn Jenner, Rich the Kid, and Iggy Azalea, persuading them to promote memecoins through social media. He was later accused of selling his stake in each token before the price collapsed.
Biden administration's 'Chokepoint 2.0' campaign
Those in the cryptocurrency sector have long accused President Joe Biden's administration of orchestrating to isolate cryptocurrency from the banking system in a campaign dubbed 'Chokepoint 2.0.'
According to Marc Andreessen, co-founder of Andreessen Horowitz, more than 30 cryptocurrency and technology founders in the U.S. have reportedly been denied access to banking services.
Coinbase's Armstrong accused on November 27, calling it 'one of the most unethical and anti-American actions' ever.
Dark Angels ransomware group
The Dark Angels ransomware group attacked the cryptocurrency industry in 2024 so fiercely that it was regarded as one of the most notorious cybercrime organizations the industry has ever seen.
According to Chainalysis, this group recorded the largest ransom payment of $75 million in BTC in July, marking an astonishing 96% increase in maximum ransom payments from ransomware compared to 2023.
This group targets centralized cryptocurrency exchanges, capitalizing on rising cryptocurrency prices and increased trading volume for maximum impact.
Pig butchering scammers
Pig butchering scammers have become one of the most popular forms of cryptocurrency-related fraud, causing victims worldwide to lose over $75 billion.
These scams involve criminals building long-term relationships based on online trust and ultimately coercing victims into participating in fraudulent cryptocurrency investment schemes.
On December 10, nearly 800 people were arrested in a raid in Lagos, Nigeria, suspected of involvement in crimes.
State-sponsored cybercrime
State-sponsored cybercrime has surged this year, with the notorious Lazarus Group linked to North Korea transferring over $1 million in BTC in January after a period of inactivity.
The Lazarus Group has been linked to over $3 billion in cryptocurrency theft since 2017, including the $600 million Ronin Bridge hack in 2022.
The 2024 Elliptic report also reveals that AI tools have fueled state-sponsored cybercrime, enabling deepfake advertising, ransomware attacks, and various other scams.
With champions and opponents on both sides of the cryptocurrency industry, 2024 will be a prolonged battle between innovators, regulators, fraudsters, and states.
The cryptocurrency space is currently preparing for 2025, primarily driven by the promise of a cryptocurrency-friendly administration in the U.S. and hopes for continued institutional adoption.
Source: cointelegraph