If Trump wins a landslide victory in the 2024 U.S. presidential election, what impact could his campaign proposals have on the cryptocurrency industry?
Bitcoin reserves and support for Bitcoin mining: Trump proposed establishing a 'national Bitcoin reserve' and retaining the Bitcoin held by the U.S. government.
Deregulation: Trump promised during his campaign to adopt a lenient cryptocurrency regulatory policy, reduce government intervention in crypto assets, and support Bitcoin mining. Dismiss the current SEC Chairman Gary Gensler to alleviate the SEC's strict enforcement pressure on cryptocurrency companies.
Pro-Bitcoin fiscal and monetary policy: Trump promised to lower interest rates, and a loose interest rate policy would benefit the growth of Bitcoin and other cryptocurrency assets.
Trade policy: Trump advocates imposing tariffs of 10-20% on most foreign goods and a 60% tariff on all Chinese goods. Increased tariffs may lead to rising inflationary pressures, which could somewhat suppress the pace of interest rate cuts.
Overall, Trump's administration will promote a more favorable policy environment for cryptocurrency innovation, addressing the shortcomings in policy, and the subsequent loose interest rate environment will also bring more capital into the crypto market.
