Did Crypto Hand Donald Trump the White House? Experts Weight in

How deep did crypto’s influence go in this election? Did Bitcoin and blockchain supporters help Trump return to the Oval Office?

A crypto-backed return to the White House

The last election gave Donald Trump a strong victory with 312 delegate votes, returning him to the White House. But this time, what stands out is not just numbers or campaign speeches, but cryptocurrencies.

Over the past year, crypto has grown from a niche interest to a major issue on the political agenda, with crypto-friendly candidates now holding key seats in Congress.

In the Senate alone, pro-crypto candidates won 18 seats, while anti-crypto candidates won only 12 seats. The number of pro-crypto candidates across the Congress was 266, with anti-crypto candidates trailing by 120.

This change in emotions is not accidental. According to a Grayscale report in September 2024, voters’ awareness of crypto increased from 47% in December 2023 to 53%.

In fact, 71% of voters think it is crucial for political leaders to embrace new technologies like blockchain to keep America competitive on the world stage.

More importantly, 56% of voters said they would be more likely to support a candidate who is open to learning about crypto; this rate was 48% last December. Election results now confirm this trend.

With Trump’s second term backed by a Senate and Congress open to cryptocurrencies, the following questions arise: What role did cryptocurrency play in his victory and how might it affect his tenure? Let’s examine what experts think Trump’s victory means for the future of crypto.

How crypto finance has shaped major races

Cryptocurrency played a major role in Trump’s victory, transforming from a fringe industry into a powerful political force. The industry has thrown its weight behind pro-crypto candidates across the country, making strategic donations and funding advertising in close races.

Crypto-backed candidates have gained ground across the country, and groups like Fairshake and Defend American Jobs have poured more than $135 million into more than 50 key congressional races.

In Ohio, for example, Republican candidate Bernie Moreno received $40 million in crypto-backed ad support from pro-crypto super PACs, which helped him defeat Democrat Sherrod Brown, who is known for his critical stance on crypto regulations and chairs the Senate Banking Committee.

PACs didn’t limit their influence to just Ohio. The PAC distributed funds to more than 50 races, including critical battles in Arizona, Indiana and Maryland.

In West Virginia, for example, DAJ’s $3 million campaign to support Jim Justice paid off, flipping the previously Democratic seat in favor of a pro-crypto Republican. Justice clinched the race with a solid 69% of the vote.

The crypto industry has also backed figures like Indiana’s Jim Banks, who successfully captured a Senate seat with 54% of the vote after a significant push from crypto-backed ads.

But this support wasn’t just for pro-crypto Republicans. In New York, Democratic Senator Kirsten Gillibrand, known for her supportive stance on crypto, was re-elected. Crypto support has transcended party lines, showing that the industry is not limited to a single political party.

But not every race went in crypto’s favor: In Massachusetts, Senator Elizabeth Warren, a well-known critic of crypto, won her third term despite rival John Deaton’s $2 million industry endorsement.

As of Election Day, crypto firms had spent over $50 million in states from California to Iowa, attracting support from both Democratic and Republican candidates with positive views on crypto.

The results were also celebrated by industry figures. “The crypto army is on strike,” Gemini co-founder Tyler Winklevoss said after Moreno’s victory.

The crypto army is on strike! Sherrod Brown, public enemy of cryptocurrency, accomplice of Elizabeth Warren, and close friend of Gary Gensler, was just impeached. @berniemoreno for the Ohio Senate.

— Tyler Winklevoss (@tyler) 6 November 2024

According to Coinbase’s Chief Legal Officer Paul Grewal, the night’s results showed “crypto won.”

Before the results come in, one thing is already clear: Crypto has already won. Among the 1.8 million Americans registered as lawyers @standwithcrypto and while there are plenty of R&D candidates supporting crypto-friendly policy, the results will clearly be shaped by crypto voters.

— paulgrewal.eth (@iampaulgrewal) November 5, 2024

Faryar Shirzad, Coinbase’s Chief Policy Officer, added: “In the polls and on both sides of the aisle, crypto won this election.”

🇺🇸Across the ballot and on both sides of the aisle, crypto won this election. With millions of crypto owners casting their ballots, and dozens of high-profile races converging around crypto and financial reform, this new Congress and the incoming Trump Administration understand…

— Faryar Shirzad 🛡️ (@faryarshirzad) November 6, 2024

According to Trump, the support of key industry figures such as the Winklevoss twins, Marc Andreessen and Ben Horowitz played a role in his election victory. Together they contributed a total of $10 million, helping Trump reach $22 million in total industry donations.

As the votes came in and crypto-friendly candidates celebrated their victory, Bitcoin (BTC) surpassed $75,000, peaking at $76,940 on November 7. This reflects the market’s confidence in a friendlier political climate for crypto.

As of November 14, BTC is trading at $89,300, maintaining its upward trend.

Experts comment on Trump’s victory

Crypto.news sought input from industry experts to investigate crypto’s impact on Trump’s victory.

According to Nitin Gaur, co-founder and CTO of Stealth Startup, this election marked crypto’s true entry into the political scene.

“Crypto has become the voter agenda,” Gaur said, noting that it’s not just about donations but also about bringing together a new type of voter around themes like innovation and personal freedom.

Gaur also cited Elon Musk and RFK Jr., whose support has helped the pro-crypto agenda resonate with voters across party lines. He also credited high-profile supporters such as.

Clearpool CEO Jakob Kronbichler pointed out how Trump’s campaign is reaching out directly to crypto holders.

“Trump brought this community together by promising to transfer 207,000 Bitcoins held by the Department of Justice to the Treasury as a strategic reserve.”

This promise, combined with Trump’s stance in favor of DeFi, attracted the attention of crypto enthusiasts who became wary of the SEC’s crackdown.

AMLBot CEO Slava Demchuk noted that Trump’s focus on crypto has allowed him to expand his reach beyond the traditional conservative base.

“Approximately 1 in 7 voters in the United States owns cryptocurrency,” Demchuk said. By prioritizing crypto, Trump has connected with a diverse crowd of young adults, people of color, and especially men under 40, many of whom feel unheard in other political debates.

Moreover, even Demchuk believes that Trump’s strong ties to Musk increase his appeal among these groups, especially on platforms like X where crypto enthusiasts are active.

Is it a new era? What does the Trump administration have in store for crypto?

With Trump poised to re-enter the White House, industry leaders are hopeful that his campaign promises will lead to real changes that will benefit crypto.

Kronbichler expects one of the first steps to be “clearer regulations,” as a more supportive Congress and a crypto-friendly president could resolve the legal gray areas that have slowed DeFi and blockchain projects.

“We expect growth in DeFi as regulatory pressures ease,” he shared, a sentiment widely echoed across the industry.

Demchuk believes Trump replacing SEC Chairman Gary Gensler could create a turning point for crypto.

“The SEC could shift from investigating to supporting crypto innovation,” he said, describing a possible shift towards helping crypto companies manage rather than face hurdles in the regulatory system.

Meanwhile, MatterFi Senior Vice President of Partnerships Will Adams commented on the clarity Trump’s campaign has brought to the future of crypto and expressed the strong intent of the United States to lead globally in the digital asset space.

Currently, under the SEC’s SAB-121 rule, banks are required to treat crypto assets in custody as liabilities; This is a major hurdle for banks looking to manage crypto assets.

“Removing these restrictions could lead to greater retail interest in BTC.”

Adams said banks can handle cryptocurrency without facing large capital requirements. He added that such changes could also increase demand for spot Bitcoin ETFs, which currently compete for a limited supply of BTC.

Even after the election, the crypto community’s reaction was quite impressive. MatterFi CEO Michael Pospieszalski noted that trust is increasing across the industry.

“In the 36 hours since the election, the crypto world…has shifted gears,” he observed, describing how deals began moving forward, VC funding was unlocked, and enthusiasm returned in what he called the “Trump Bump.”

Gaur summarized: “Crypto is here to stay and will continue to shape future elections and US politics, with impacts that may extend beyond the US.”

For now, the industry is poised for an era of growth and meaningful change in how cryptocurrency is treated on the national stage.