Why Joe Biden Hates Bitcoin

Over the past 4 years, President Joe Biden has demonstrated a transparent reluctance to help the Bitcoin and cryptocurrency trade, as not too long ago evidenced by his veto of great laws and the broader stance of his administration. On Could 31, Biden vetoed a pivotal invoice that may have allowed extremely trusted monetary establishments to custody Bitcoin and different cryptocurrencies.

BREAKING: 🇺🇸 President Biden vetoes invoice that may enable extremely regulated monetary companies to custody #Bitcoin and crypto. pic.twitter.com/TMHavdWRx7

— Bitcoin Journal (@BitcoinMagazine) May 31, 2024

The laws in query had garnered bipartisan help in each the Home and Senate. It aimed to supply a regulatory framework that may allow banks and different monetary entities to securely maintain digital belongings, thereby additional integrating Bitcoin into the mainstream monetary system. Proponents of the invoice argued that such a framework would improve safety of spot Bitcoin ETF funds by distributing the honeypot of cash at the moment held by solely a pair establishments, promote innovation, and assist facilitate the expansion of the Bitcoin trade. Nonetheless, Biden’s veto displays his administration’s lack of help for the trade, the place the President beforehand in contrast crypto merchants to “rich tax evaders”.

The Biden Administration additionally printed a report attacking Bitcoin and Proof of Work mining, selling a Central Financial institution Digital Foreign money (CBDC) as a substitute, stating “A U.S. CBDC would have the potential to supply vital advantages”. Biden desirous to embrace a CBDC, which might enable the Federal authorities to have full management over their residents funds, additional reveals his true colours and reasoning for not supporting Bitcoin.

Lately, Joe Biden’s Division of Justice arrested the founders of widespread privateness targeted Bitcoin mixing service, Samourai Pockets, and charged them with cash laundering. U.S. Senator Cynthia Lummis defended the Samourai founders, stating that “this stance contradicts present Treasury steerage, frequent sense, and violates the rule of legislation.” Famend whistleblower Edward Snowden additionally commented on the arrest:

NEW: Edward Snowden on the U.S. Division of Justice arresting #Bitcoin mixing service Samourai Pockets founders and CEO pic.twitter.com/qmigHJzmZU

— Bitcoin Journal (@BitcoinMagazine) April 24, 2024

As well as, the Democratic Get together normally has additionally proven a reluctance to help pro-Bitcoin laws. Key figures like Senator Elizabeth Warren have been notably vocal of their opposition to the crypto trade. Warren has usually criticized cryptocurrencies for his or her environmental influence and regulatory challenges, and infamously said that she is “constructing an anti-crypto military” to handle what she perceives because the trade’s threats to monetary stability and shopper safety.

In stark distinction, former President Donald Trump has not too long ago embraced Bitcoin and cryptocurrencies. On June 1, 2024, Trump introduced that his marketing campaign would settle for Bitcoin funds by way of the Lightning Community, facilitated by OpenNode, a Bitcoin and Lightning Community infrastructure supplier. Trump has not too long ago mentioned that he “will make sure that the way forward for crypto and Bitcoin shall be made within the USA…I’ll help the appropriate to self custody to the nations 50 million crypto holders”. Trump has additionally not too long ago said that he’s “very optimistic and open minded to crypto corporations,” and that “Our nation have to be the chief within the discipline. There is no such thing as a second place.”

Regardless of the Democrats’ stance, the Bitcoin trade is turning into an more and more influential drive in U.S. politics. Latest polls point out that crypto voters are largely nonpartisan, with no vital leaning in the direction of both the Republican or Democratic events. This demographic represents a considerable and rising portion of the voters, with over 50 million Bitcoin and crypto holders in the US. Because the 2024 Presidential election approaches, Bitcoin coverage is rising as a essential challenge for candidates to handle.

The evolving stance of political leaders on Bitcoin and cryptocurrencies underscores the rising significance of those belongings in shaping financial and regulatory insurance policies. For Biden, his reluctance to embrace Bitcoin is alienating a big section of the voter base. Crypto advocates argue that clear regulatory frameworks and mainstream acceptance of Bitcoin would drive financial development, foster innovation, and improve monetary inclusion. Nonetheless, the Biden administration’s focus stays on stopping that from taking place.

The rise of Bitcoin has launched new dynamics into the political panorama. Whereas Bitcoin operates in a nonpartisan method, interesting to people throughout the political spectrum, this doesn’t imply all politicians will embrace it. Joe Biden and the Democrats are turning a non-partisan expertise right into a partisan challenge. 

In conclusion, the Biden administration and majority of Democrats favor a CBDC over a decentralized cryptocurrency like Bitcoin. A CBDC aligns extra with Biden and the Democrats than Bitcoin, as Bitcoin is much less interesting to them as a result of it doesn’t assist them obtain their aspiring authoritarian targets.

Because the 2024 Presidential election looms, the function of Bitcoin coverage in shaping voter preferences and political methods is turning into more and more evident. With over 50 million Bitcoin and crypto holders in the US, the selections of political leaders on digital belongings will possible play a pivotal function within the upcoming election, reflecting the rising significance of Bitcoin within the broader financial and political panorama.