Regulation
Analysts call on Democrats to adopt pro-crypto stance after Biden leaves office
Political memecoins saw wild volatility after Biden withdrew from the race, with Biden-themed tokens plummeting in response to the news.
The crypto community is wondering what Joe Biden’s withdrawal from the 2024 US presidential race could mean for web3.
On July 21, Biden shook up the American political landscape by abandoning his re-election bid and throwing his support behind Vice President Kamala Harris. The move followed internal pressure within the Democratic Party, amid growing concerns about Biden’s age and mental capacity, exacerbated by a disastrous debate performance and worrying poll numbers since.
Memecoin traders were quick to react to Biden’s withdrawal, with Jeo Boden (BODEN) down 58.3% since the announcement, according to CoinGecko. Jill Boden (JILLBODEN) is also down 83.3%, while Hunter Biden’s laptop (LAPTOP) has dropped 46.5%.
However, Kamala Horris (KAMA) token is up 50.8% and Doland Tremp (TREMP) has rebounded 11%.
Observers call on Democrats to support Web3
In response to the move, prominent analysts are calling on the Democratic Party to turn to crypto voter courtesy.
On July 21, the Cedar Innovation Foundation, a pro-crypto organization said Fox Business reporter Eleanor Terrett believes Biden’s withdrawal offers Democrats an opportunity to support Web3 innovation.
“While Secretary Gensler and Senator Warren may have misdirected White House policy in the past, now is the time to present a new vision for American innovation that keeps innovation jobs in America, ensures the global competitiveness of digital assets, and heralds a new era of financial inclusion and prosperity,” the foundation said.
Jake Chervinskycrypto lawyer and board member of the DeFi Education Fund, as well tweeted that Biden’s departure presents the Democratic Party with a “huge opportunity” to compete for votes from the crypto community.
“A recent poll in key states shows that one in five registered voters see cryptocurrency as a major issue, and nearly one in two agree that they ‘don’t trust candidates who interfere with cryptocurrency,’” Chervinsky said. “Like it or not, thousands of cryptocurrency supporters are ‘single-issue voters’ who could swing the vote in states like Michigan and Pennsylvania.”
Chervinsky added that Biden was set to lose a lot of votes among crypto voters due to his affinity for the despised campaign of the United States Securities and Exchange Commission (SEC) regulation by law enforcement targeting Web3. However, Chervinsky noted that many Democrats recently voted in favor of the Web3 industry’s interests by supporting the repeal of the SEC’s controversial crypto accounting rule, SAB 121and supporting the adoption of the FIT 21 Law.
“If the Democratic Party is serious about winning this election, the new candidate must seize this opportunity,” Chervinsky said.
10x Research, a digital asset research firm, took a different stance, saying that no incoming Democratic candidate will be able to challenge Republican nominee and former President Donald Trump and predicting the end of Gary Gensler’s reign as SEC chairman.
“Historically…the SEC chairman has resigned when a new administration has been elected,” the firm said. tweeted“Although SEC Chairman Gensler’s term ends on June 5, 2026, he will most likely resign by January/February 2025.”
Trump courts crypto community votes
The rhetoric around the Democratic Party follows Trump’s campaign effectively courting the cryptocurrency industry for electoral support.
On May 21, Trump began accepting cryptocurrency donations. Four days later, Trump took to social media to announce that he was “very open-minded to cryptocurrency companies and anything related to this growing industry” and that he wanted to promote cryptocurrency. American Web3 sector.
In June, Trump criticized the hostile regulatory environment overseen by Democrats, said he would act as a “crypto president” if re-elected, and hosted Bitcoin mining executives at its Mar-a-Lago resort.
Trump’s pro-crypto pivot was formalized in the Republican Party Political Platform earlier this month, which promised to “champion innovation…defend the right to mine Bitcoin and ensure that every American has the right to self-custody their digital assets.”
Although the movements have attracted support According to many in the crypto community, not everyone is convinced by Trump’s new pro-web3 stance.
Critics point out that Trump offered little support for web3 during his previous term, and described Bitcoin as a “scam” and the broader crypto industry as a “disaster waiting to happen” in 2021. interview.
Last week, Ethereum chief scientist Vitalik Buterin warned voters against being easily swept away by politicians who claim pro-crypto leaningsHe urged viewers to push for broader technological freedoms, including privacy of communications and access to privacy-preserving digital identity technologies.