Democrats Rally Behind Bitcoin as Cryptocurrency Gains Political Power

Under the leadership of Securities and Exchange Commission (SEC) Chairman Gary Gensler, there has been significant skepticism towards cryptocurrencies. Gensler, appointed by President Joe Biden, opposes the FIT21 bill approved by the House of Representatives, reinforcing his cautious stance on crypto regulations. Industry lobby representatives argue that Gensler's influence shapes the perspective of many Democratic lawmakers, who often rely on party-appointed regulatory experts for their knowledge of finance matters.

Cryptocurrencies are increasingly gaining acceptance within the Democratic Party, indicating that previous skepticism has changed significantly. The FIT21 law, approved by the US House of Representatives with a vote of 279 - 136, symbolizes this change. In particular, the fact that 71 Democratic lawmakers support the law marks a significant change in the party's attitude towards crypto regulations. Ryan notes that his Democratic colleagues are now willing to proactively approach crypto issues rather than leaving them solely to the Biden administration and financial regulators.

Ryan also emphasizes that it is the constitutional duty of Congress, not just regulators, to set long-term policy frameworks. While Gensler's term ends in June 2026, Ryan advocates for Congress to take a more active role in shaping the national approach to digital currencies.

The growing acceptance of cryptocurrencies is not only limited to the Democratic Party but also resonates with Republicans. Former President Donald Trump has been promoting domestic Bitcoin mining and integrating cryptocurrencies into his financial activities, calling himself the “crypto president.” This bipartisan interest suggests it could have significant future impacts on the regulatory landscape.