Coinbase CEO Brian Armstrong believes the forthcoming US presidential elections could play a pivotal role in the regulations of the crypto industry. We have been penning specific articles about this topic for weeks, stating that politicians may adopt a different strategy next year. A significant portion of millions of cryptocurrency investors are within the US, and the SEC, which seizes these people’s money, is also causing resentment against Biden to rise.
Crypto Bull Run
Candidates grasp onto any argument that could help them gain votes during elections. Crypto seems to be positioned to experience this in the upcoming US elections. The defiant submission of a spot Bitcoin ETF application by BlackRock, which holds considerable political clout, particularly on the days when the SEC targeted two giant exchanges, should be taken seriously.
Considering all these, the US elections could mean that the stranglehold on crypto may be released by the regulators.
US Elections 2024 and Crypto
Speaking at a conference in New York today, Armstrong said that a new lawsuit brought against the exchange by the US Securities and Exchange Commission (SEC) could ultimately provide more regulatory clarity for the industry as the lawsuit progresses in court.
Frankly, the 2024 elections are also a factor here. Being anti-crypto is not politically popular right now, and whether it’s in administration, parties, or the SEC chair, we are going to see a potential shift here.
If Coinbase’s CEO is proven right, the 2024 bull run could be supported by dozens of potential developments, including crypto-friendly moves brought about by the US elections.
Armstrong also touched on the lawsuit the SEC filed against rival exchange Binance.
As we have seen other sanction actions – I must remind people, we are working on a legal issue with the SEC, which is a technical issue of what is a commodity and what is a security, courts can help gain clarity there. The other issue we see is different. There are criminal matters. Allegations like illegal trade, funds being mixed. None of these apply to Coinbase.
Meanwhile, it should be mentioned that the SEC could not prove that the funds were mixed or moved outside the US.
