Crypto Industry Returns to the US: A "Gold Rush" Triggered by Trump's Policy Shift

Crypto Industry Returns to the US: A "Gold Rush" Triggered by Trump's Policy ShiftThe outcome of the US presidential election often affects the direction of the global economy, and this years election is particularly significant for the cryptocurrency industry. The two candidates contrasting attitudes toward cryptocurrencies paint vastly different future landscapes for this emerging industry

Crypto Industry Returns to the US: A "Gold Rush" Triggered by Trump's Policy Shift

The outcome of the US presidential election often affects the direction of the global economy, and this years election is particularly significant for the cryptocurrency industry. The two candidates contrasting attitudes toward cryptocurrencies paint vastly different future landscapes for this emerging industry.

Trump: Pushing the US to Become the Crypto Capital

Incumbent President Trump has consistently held a positive stance on cryptocurrencies. He even stated during his campaign that if he were to be re-elected, he would designate Bitcoin as a government reserve asset and transform the US into the global crypto capital. This statement sparked cheers within the crypto industry, with many crypto companies expressing their intention to shift their business focus back to the US.

Trump's policy position has injected new impetus into attracting crypto industry development to the US. Venture capitalists are considering allocating more funds to the US market, and crypto companies are actively planning personnel adjustments. For instance, Copper Technologies, a London-based cryptocurrency custodian, has stated that it is considering refocusing its operations on the US should Trump win.

Harris: A Cautious Approach to Cooperation

Compared to Trump's strong support, Democratic presidential candidate Harris's stance on cryptocurrencies appears more cautious. Although reports suggest that she is establishing connections with the crypto industry through advisors and exhibiting a cooperative approach, she hasn't made any concrete policy commitments.

A Shift in the US Regulatory Landscape

Trump's support and Harris's cooperative attitude have instilled confidence in the crypto industry regarding improvements in the US regulatory environment. This confidence has been further solidified following the listing of Bitcoin and Ethereum ETFs in the US.

Since the listing of Bitcoin ETFs in the US in January, the asset has attracted approximately $19.4 billion in net inflows, setting a historical record. Data from research firm Kaiko also shows that the US dollar became the top currency for global cryptocurrency trading volume again in May, accounting for over 50% of global transactions.

Capital Flows Back, Challenges for Other Regions

Over the past few years, due to an unfavorable regulatory environment in the US, investment opportunities in the crypto industry shifted overseas, with Singapore, Dubai, and the UK emerging as new centers for crypto development. However, with the US shifting its stance on the crypto industry, capital is gradually flowing back, presenting new challenges for these regions.

An Optimistic "Bigger Pie" Scenario

Although the outcome of the US election remains uncertain, some optimists believe that regardless of who wins, the crypto industry will experience a more favorable policy environment globally. This implies that even if the US takes the biggest slice of the pie, other markets can still benefit from the overall pie growing.

Positive Ripple Effect

Kelvin Koh, co-founder and Chief Investment Officer of SpartanCapital, stated that a clearer regulatory framework in the US signifies a greater influx of capital into the country. Richard Galvin, co-founder of DigitalAssetCapitalManagement, further pointed out that other markets may emulate the US approach given the scale of the US capital market, signifying a wave of positive ripple effects for the crypto industry.

A New Opportunity for the Global Crypto Industry

The outcome of the US presidential election will have a significant impact on the future development of the global crypto industry. Regardless of the final result, the crypto industry is poised to enter a new phase of development. Improved US regulation will attract more capital and talent to the field, driving industry growth. However, other regions also need to seize opportunities, actively explore innovation, and secure advantageous positions in the global competition.

Conclusion

Trump's support for cryptocurrencies, coupled with Harris's cautious approach to cooperation, has presented new opportunities for the crypto industry. The improvement in the US regulatory environment will attract more capital and talent, driving industry growth. However, other regions also need to actively explore innovation and secure advantageous positions in the global competition. The future development of the crypto industry will depend on policy support from countries worldwide and market demand.