As the US presidential election approaches, investors are weighing whether a Trump or Harris administration would be more favorable for cryptocurrency investors. This comes as bitcoin (BTC-USD) topped $67,000 for the first time since July.
Duke Financial Economics Center lecturing fellow Lee Reiners joins Catalysts to discuss this topic as the election lies just three weeks away.
Reiners suggests that if investors are primarily concerned with crypto prices, a Trump administration might "have a more positive impact." However, he emphasizes that for crypto to achieve long-term success beyond the presidency, "you're going to have to have a lot more people trusted." He notes that crypto platform failures like the Sam Bankman-Fried and FTX (FTT-USD) case have left investors wary of the space.
"I think one way you engender trust is to have meaningful regulations in place that provide the basic consumer protections that consumers and investors have when it comes to securities and banking and other traditional financial assets," Reiners explains. "So I think long-term, actually, a sensible regulatory framework would be better for crypto, but I don't think that's what the Trump administration has in mind."
Regarding Vice President Kamala Harris's campaign, Reiners points out that there's limited information available about her stance on crypto regulation. The closest thing to a policy statement has been a proposal to give Black men an opportunity to invest in the asset class.
"I think though that she and her team are acknowledging that the current status quo is untenable," he tells Yahoo Finance.
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This post was written by Angel Smith