Donald Trump's historic victory in the US election has been a significant milestone on the path to a new era for cryptocurrencies in the country.
On November 12, the price of Bitcoin reached a New all-time high (ATH) of $89.956, according to data from CoinMarketCap. This increase occurred just a week after Donald Trump's election victory in the United States. Along with other digital assets and shares of crypto-related companies, which have also seen a notable increase, the price of Bitcoin reflects the degree of widespread euphoria caused by the change in the US administration.
El President-elect has been a proponent of cryptocurrencies over the past year. Additionally, during his campaign period, he promised to make the United States the crypto capital of the world.
Trump has also surrounded by influencers who share their vision on the potential of cryptocurrencies, with a high-level team which, according to Galaxy Digital, will work hard to ensure that its promises are kept.
Galaxy Digital analyzed the future of cryptocurrencies under the Trump administration
In its weekly report “Weekly Top Stories – 11/8,” the digital asset services company analyzed Trump’s promises for the crypto industry and how these could impact its future, suggesting that the crypto industry is about to enter a golden age.
According to Alex Thorn, research director at Galaxy Digital, Trump's victory and his pro-crypto team are key factors that could transform the regulatory landscape in the United States. Among his closest collaborators is JD Vance, the vice president-elect, who has shown strong support for cryptocurrencies and digital assets.
The company also highlighted the support of Vivek Ramaswamy y Robert Kennedy Jr., who have also been vocal advocates of cryptocurrencies in recent years.
According to Galaxy Digital analyst, this political alignment can be interpreted as a crucial advantage in ensuring that Trump’s pro-crypto promises materialize.
In its analysis, Galaxy Digital highlighted that the new political environment could facilitate a friendlier regulatory approach towards cryptocurrencies. The firm argues that The regulatory hurdles that have held back the growth of crypto assets over the past few years are beginning to fadeMoreover, the combination of a Republican majority in both houses of Congress and a White House favorable to these digital assets could allow the industry to move forward without the restrictions previously imposed.
“Cryptocurrencies are about to enter a golden age. Trump has promised to turn the United States into the “crypto capital of the world” and his top team is full of strong crypto advocates”, Indian the company.
The end of Operation “Chokepoint 2.0”
Specifically, Galaxy Digital noted that under a Trump administration, the leadership of the Securities and Exchange Commission (SEC), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC) is likely to change, leading to a relaxation or even an end to the so-called “Chokepoint 2.0” operation, with which the government has been repressing the crypto industry.
The company said it is possible that after the presidential transition, the US government will withdraw SEC Regulation SAB-121 and that regulators may change their stance, allowing banks to soon hold cryptocurrencies.
Overall, during his administration, Trump is expected to keep his promises of implement policies that benefit cryptocurrencies, as well as the creation of an investment fund for the development of the industry and the Creation of a national strategic Bitcoin reserveTax reductions for companies investing in cryptocurrencies are also expected, as well as the implementation of new friendly regulatory policies that will both encourage innovation and protect investors and cryptocurrency users.
The impact of Trump's promises on the cryptocurrency market
The potential impact of Donald Trump's campaign promises for the crypto industry is already evident in the price of Bitcoin and other cryptocurrencies, which have begun to rise exponentially since his landslide victory in the last presidential election became known. Also, investment products based on cryptocurrencies have experienced unprecedented demand in recent days, reflecting the optimistic environment and confidence that Trump has generated in the crypto industry.
However, analysts predict that with a more favorable regulatory environment for digital assets in the United States, we are likely to see a further increase in institutional adoption and increased interest from retail investors. This, in turn, could lead to a sustained rise in the value of Bitcoin. Analysts also expect that the implementation of pro-crypto policies in the country will benefit a wide range of altcoins, which could experience growth similar to that of Bitcoin.
In short, according to Galaxy Digital, with Trump's clear promises aimed at fostering the growth and development of the crypto sector, along with a management team favorable to these digital assets, we may be on the threshold of a golden age for cryptocurrencies, where the crypto industry in general will be able to flourish and develop its full potential.
Main image from Pixabay
