NAIROBI (CoinChapter.com)—Traders who missed out on XRP's explosive rally in November may still have a chance to capitalize on the next significant market shift. Rumors suggest that President-elect Donald Trump is considering eliminating capital gains taxes on U.S.-issued cryptocurrencies. If implemented, this policy could flood the crypto market with investments, putting a spotlight on tokens tied to U.S.-based projects.
Trump’s Tax Plan: A Potential U.S. Crypto Boom
The rumored tax reform proposes a 0% capital gains tax on cryptocurrencies issued by U.S. companies. This move is designed to attract global crypto firms to the U.S. and bolster the competitive edge of domestic projects. With over 2,900 U.S.-based companies listed on Crunchbase, the potential beneficiaries of this policy are extensive.
If enacted, the reforms could position the U.S. as a global cryptocurrency hub, driving attention to American tokens like XRP, Circle’s USDC, and Paxos’ PAX. These projects are already recognized for their regulatory compliance and strong ties to traditional finance. Platforms such as Upland, which uses the $SPARKLET token for transactions in its virtual economy, could also gain significant traction under these favorable conditions.
U.S.-Issued Cryptos: The Next Growth Opportunity?
Beyond XRP, several U.S.-based cryptocurrencies stand to benefit from the proposed tax-free environment:
1. Stablecoins:
Stablecoins, typically pegged to the U.S. dollar, are positioned to gain significant traction. BlackRock’s involvement in tokenized assets further legitimizes this segment.
2. Flare ($FLR):
Flare offers smart contract functionality, making it a potential standout in the decentralized finance (DeFi) sector.
3. Upland ($SPARKLET):
Upland’s virtual economy is powered by the $SPARKLET token, which facilitates transactions for its 3.5 million users. Partnerships with entities like the NFLPA enhance its scalability and appeal.
4. Hedera ($HBAR):
With its enterprise-grade blockchain solutions and solid U.S. connections, Hedera could see increased adoption.
5. Stellar ($XLM):
Known for its cross-border payment capabilities, Stellar’s strong U.S. operations position it for growth under the proposed policy.
The Case for "Dino Coins"
Alex, a prominent crypto commentator, highlighted that established Layer 1 blockchains—often criticized as "Dino Coins"—could experience a resurgence. Projects like Hedera and Stellar have demonstrated resilience against market volatility while maintaining robust ecosystems, making them appealing to investors seeking long-term opportunities.
Regulatory Clarity and the Future of U.S. Crypto
For those who missed XRP’s rally, the "Trump Trade" narrative offers a promising framework for evaluating U.S.-based cryptocurrencies. As regulatory clarity appears on the horizon, these tokens may play a pivotal role in shaping the future of the crypto market.
By focusing on mature, resilient, and innovative projects, investors could position themselves for the next big wave in the U.S. crypto ecosystem.