Harris beats Biden, lags Trump on crypto policy: Galaxy Research

As a researcher with years of experience delving into the complex world of cryptocurrencies and politics, I find myself intrigued by the contrasting stances taken by the US presidential candidates on this innovative sector. Kamala Harris’s promise to improve the regulatory environment for U.S. crypto firms is certainly a step in the right direction, but her unfavorable positions on taxes, Bitcoin mining, and self-custody are concerning.


2021 U.S. presidential hopeful Kamala Harris shows a more favorable stance towards cryptocurrencies compared to President Joe Biden, but she is still not as supportive of the industry as her competitor, former president Donald Trump, according to Galaxy Research’s statement on October 14th.

According to a post from Galaxy’s research chief, Alex Thorn, on the X platform, Harris pledges to enhance the regulatory landscape significantly for U.S. crypto companies; however, her stance on other pertinent matters like taxes, Bitcoin (BTC) mining, and self-custody is not favorable, as suggested by the article.

[Trump] is certainly seen as better for the industry, but we’re hopeful that [Harris] may offer more support compared to how [Biden] has so far,” Thorn expressed.

Harris beats Biden, lags Trump on crypto policy: Galaxy Research

How Trump and Harris stack up on crypto policy

In the upcoming U.S. presidential election in November, the Republican candidate Trump (who has expressed his desire to make America a leading hub for cryptocurrencies) is facing off against Democrat candidate Harris, who has not made significant statements regarding the crypto industry compared to her opponent.

With Biden, a Democrat, at the helm, the U.S. Securities and Exchange Commission (SEC) has adopted a proactive regulatory approach towards cryptocurrencies. This proactive stance has led to over 100 regulatory actions being initiated against various crypto-related companies.

In July, Trump promised to “fire” Gary Gensler, who currently heads the SEC. 

From September onwards, Harris has stepped up her involvement in cryptocurrencies, including blockchain technology as one of several innovative areas where she aims to keep the U.S. at the forefront.

This could imply that the regulatory stance on cryptocurrency may become less stringent, as behind-the-scenes discussions seem to indicate Senator Harris might be adopting a more accommodating approach compared to President Biden.

On October 2nd, I, as an analyst, noted that Gurbir Grewal, the head of enforcement at the Securities and Exchange Commission (SEC), chose to step down from his position. This move might indicate a shift in direction or approach within the current administration.

Harris beats Biden, lags Trump on crypto policy: Galaxy Research

As reported by Galaxy, Harris maintains a strongly negative stance towards the industry regarding taxes. Among her proposals is the reversal of Trump’s tax reductions, which could lead to increased capital gains taxes for cryptocurrency owners, according to their analysis.

Currently, Trump has voiced approval for Bitcoin mining, likening it to traditional manufacturing. He aspires for a greater proportion of Bitcoin production to occur domestically, as suggested by recent reports.Trump has additionally promised to “uphold the privilege of personal control,” which refers to keeping cryptocurrency assets in a self-managed digital wallet rather than using a third-party guardian, as stated by Galaxy.Harris has not taken similarly favorable positions on Bitcoin mining or self-custody.Significantly, both candidates maintain a firm stance on applying economic sanctions towards hostile foreign entities in relation to cryptocurrency trades, as stated by Galaxy.This probably means that both contenders are less inclined to endorse “open-ended” financial systems based on Decentralized Finance (DeFi), which tend to disregard regulations related to identifying customers (KYC) and preventing money laundering (AML).

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2024-10-14 23:47