As the 2024 U.S. presidential election approaches, Galaxy Digital, a prominent cryptocurrency investment firm, has published a policy scorecard evaluating the positions of key presidential candidates on major crypto issues. The scorecard identifies former President Donald Trump as the most favorable candidate for the cryptocurrency industry.
According to the report, while Vice President Kamala Harris offers some hope for improvements over President Joe Biden’s stance on crypto, Trump’s policies are seen as having “explosive upside” potential for the digital asset sector.
Trump’s Pro-Crypto Agenda Stands Out
Galaxy Digital highlights Trump’s strong support for cryptocurrency, particularly his favorable view on Bitcoin mining. The former president regards mining as a crucial component of the “domestic manufacturing” landscape, earning praise from the crypto community.
Trump has actively engaged with miners and received donations from them, distinguishing himself from the Biden administration, which has proposed a 30% tax on Bitcoin mining—an initiative perceived as harmful to the industry. His pro-mining stance is expected to bolster existing operations and attract further investments into the U.S. crypto-mining ecosystem.
In addition to his mining policies, Trump’s approach to taxation is also viewed favorably. The scorecard indicates that his administration would likely offer clearer and more favorable tax regulations for digital assets. In contrast, Harris has indicated plans to roll back some tax cuts from Trump’s presidency, potentially tightening regulations on digital asset transactions.
While Harris is seen as more open to dialogue compared to Biden, her proposed tax policies could raise concerns within the crypto industry.
Banking Regulations and Broader Implications
Another key area addressed in the scorecard is banking regulations. Trump has vowed to eliminate the controversial “Operation Chokepoint 2.0,” a policy criticized for limiting banking access for crypto firms. He advocates for national banks to engage with blockchain technology and has been a vocal opponent of central bank digital currencies (CBDCs).
Although Harris has shown a willingness to soften some of Biden’s stringent restrictions, her campaign has not specifically addressed banking access for crypto companies.
Harris: Opportunities for Growth with Limited Risk
Despite Trump’s strong positioning in Galaxy Digital’s scorecard, Vice President Kamala Harris presents a relatively favorable outlook for the crypto industry compared to President Biden. Her campaign is viewed as less antagonistic toward cryptocurrency, especially concerning self-custody and banking regulations.
While her stance on Bitcoin mining remains somewhat undefined, Harris has positioned herself as a candidate open to bipartisan solutions for regulating cryptocurrency. In a recent address to Black entrepreneurs, she emphasized the importance of providing access to digital asset markets for Black-owned businesses to help build generational wealth.
Galaxy’s report notes that while Harris’s policies may not match the level of support offered by Trump, they do not pose significant downside risks for the industry. Her cautious approach to regulation could facilitate incremental improvements in areas like self-custody and banking access, though uncertainty remains regarding the extent of her support for the broader crypto ecosystem.
Notably, recent polling indicates Trump is leading Harris by 10 points in the presidential race. Additionally, the crypto community’s support for Trump is evident, as his crypto project has garnered over 100,000 signups ahead of its token launch.
