The farce that is America’s ‘crypto election’

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November 5th will, by all accounts, be America’s first “crypto election”. Hundreds of millions of real dollars have poured into pro-crypto political action committees. Kamala Harris spoke of encouraging “innovative technologies”. Donald Trump, her rival for the presidency, decided that bitcoin was not “a scam” after all, embarked on a series of crypto-adventures and promised to make America the “crypto capital of the planet”.

“The crypto voter is real, bipartisan and ready to engage in this cycle,” enthused the executive director of lobby group Stand With Crypto, founded and funded by America’s largest cryptocurrency exchange, Coinbase, last week. (The group gives politicians grades for their crypto stance, and Trump, unusually, gets an A.)

But reader, I have to give you a heads up from BAT (a digital token): the crypto voter is not, in any substantial sense, real. Aside from the small group of men (OK, mostly men) whose livelihoods now depend on this digital native fluff, most Americans have pretty big things to worry about — food prices, healthcare, the job market or the general condition of their nation, may be.

The idea, therefore, that there is an “electoral contract” of crypto voters to be pampered, whose main concern is to ensure that exchanges and other companies are not too heavily regulated, is fanciful. And yet, this is the narrative pushed by the industry, along with some creatively interpreted statistics.

“Crypto is a national priority. . . 52 million Americans own crypto and want their voices heard in the upcoming election,” Stand With Crypto claims (the 52 million is certainly contested). “Nearly nine in ten Americans think the financial system is overdue for an upgrade. Yet U.S. policymakers seem content to maintain the status quo rather than meet their responsibilities.”

That, presumably, means making sure people like Coinbase’s multi-billionaire CEO Brian Armstrong can keep getting rich. Because if crypto owners are really being considered here, they’re doing well, thanks (or those lucky enough to pick an exchange that didn’t steal it all, anyway).

Despite the fact that the Biden-Harris administration is “very hostile” to crypto, according to Trump – “extremely hostile, as no one can believe” – ​​the price of bitcoin has more than quadrupled since the 2020 election, reaching an all-time high at the beginning of this year. The estimated value of the entire crypto market has nearly sextupled. If we talk about US jobs, industry figures show that almost a third of the world’s crypto workforce is based in the US.

Crypto is also responsible for nearly half of all corporate spending on the election so far, with pro-crypto Fairshake super Pac raising just over $200 million.

But while the fact that there is a huge amount of both cryptocurrency and crypto-rhetoric in this campaign is not in doubt, do any of the candidates care? Let’s look at Harris’ own words. Until recently, they didn’t exist. But last Sunday at a Wall Street fundraiser, she finally said: “We will encourage innovative technologies like AI and digital assets while protecting our consumers and investors.”

For all those who cheered on her sudden conversion – Stand With Crypto even graded her a B for being “somewhat pro-crypto” before downgrading it after backlash – let me- I clarify my own thoughts: Harris couldn’t give him a flying Satoshi. She promised nothing. Her comments were designed not to alienate the tech world by giving the impression that they are heavy-handed, keeping out those who favor stronger regulation.

Trump has sold four collections of NFTs and is generously offering Americans a “chance to contribute to the cryptocurrency campaign.” But if you think his interest outweighs your own prospects, you too should brace yourself for disappointment. He may be praised by Coinbase’s policy chief for his “concrete and visionary positions,” but he doesn’t seem to be taking it all seriously. “Have fun with your bitcoin and your crypto and whatever else you’re playing with,” he said at the bitcoin 2024 conference in July.

Trump doesn’t show much understanding either – which, to be fair, he at least accepts. At the launch of his and his sons’ latest foray into crypto, World Liberty Financial, he compared it to learning Chinese. What the company will do remains unclear.

However, at least the enterprise’s “DeFi visionary” seems to understand. “Barron knows so much about this,” the former president said of his 18-year-old son. “Talk about his wallet. He’s got four wallets or something, but he knows this stuff.” Remember, remember November 5th. Ignorance, claptrap and grift.

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