Joe Biden faces a critical moment in his campaign. With the 2024 election approaching, his stance on cryptocurrency could make or break his chances against Trump.
The Chamber of Progress has sent a strong message: supporting comprehensive crypto regulation is key. Biden can still win this battle, but does he want it badly enough?
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The advocacy group believes this could be a winning issue for him in the upcoming election. “The US president can still win the issue of cryptocurrency against Donald Trump,” they said.
Biden’s crypto conundrum
In their letter, the Chamber added that:
“Support for a crypto-positive digital assets agenda would provide your Administration with a chance to lead on an issue young voters identify with.”
With 18 million Americans involved in cryptocurrency, and over 50% of Gen Z and Millennial voters supporting federal policies that encourage digital asset use, the stakes are high.
Biden’s 2022 Executive Order on Ensuring Responsible Development of Digital Assets aimed to foster cryptocurrency development, expand access to safe and affordable financial services, and reduce the cost of cross-border transfers.
Despite this, the current regulatory environment remains unclear, harming investors and limiting the utility of crypto assets.
The SEC, under Gary Gensler, has insisted that existing laws are enough to regulate digital assets, but multiple courts have disagreed, leaving consumers in a state of regulatory ambiguity.
The SEC’s approach has also damaged relationships with the crypto industry. After several meetings to establish clear guidelines, the SEC still sued major cryptocurrency exchanges. This has also ruined investor confidence and public-private collaboration.
Opportunities to support bipartisan reforms
The US Congress has passed several bipartisan measures to provide regulatory clarity for crypto. The Financial Innovation and Technology for the 21st Century Act proposes a joint SEC-CFTC rulemaking regime to extend consumer protections to cryptocurrency investors.
Despite broad support, Biden has opposed such legislation, leaving investors and industry participants unsure about the future regulatory framework.
Polling data shows that 52% of voters believe more cryptocurrency regulation is needed, and 20% consider it a major voting issue.
President Joe Biden
Trump’s campaign has capitalized on this uncertainty, portraying Biden as an opponent of technological leadership and economic progress.
Trump has since changed his views on cryptocurrency, courting the crypto vote and raising funds from industry stakeholders. The Chamber of Progress has emphasized that regulatory clarity is essential for the continued growth of the crypto industry.
Without it, investors face unnecessary risks, and innovation is stifled. They advise Biden to publicly declare his support for comprehensive crypto legislation, so he can lead on an issue that matters to millions of Americans.
The letter notes that one in five Americans have bought, traded, or used cryptocurrency. This trend spans various demographics. According to the Pew Research Center, 20% of Black, Hispanic, and Asian U.S. adults have utilized cryptocurrency.
The Kansas City Federal Reserve found that Black investors are more likely to own crypto than stocks or mutual funds. 40% of U.S. investors expect to invest in cryptocurrency in before the decade is over.
Reporting by Jai Hamid
