The Biden campaign is reportedly considering accepting cryptocurrency donations through Coinbase Commerce. However, sources close to the matter revealed that embracing crypto contributions may not be immediate, as shifting perceptions within a political party require careful consideration and deliberation. While the details of the discussions remain unknown, integrating digital assets into traditional political fundraising mechanisms underscores their evolving role in today’s financial landscape.
As one source commented, “It’s not as fast as we like because actually shifting perception in a party takes time; whereas empty off-the-cuff promises are easy.” This sentiment highlights the nuanced nature of integrating cryptocurrency into traditional political structures.
This comes after Biden vetoed SEC’s controversial crypto custody rules. The SEC’s SAB 121 required firms that hold customers’ crypto assets in custody to record them as liabilities on their balance sheets. This clause has been criticized by public banks for being burdensome and discouraging them from offering crypto custody services. Senator Cynthia Lummis argued that this guideline was inappropriately issued without proper notice and comment rulemaking process, thus avoiding a full commission vote on this controversial policy.
Before that the Biden administration introduced a budget proposal that would subject cryptocurrency miners to a 30% tax on electricity expenses in a bid to “limit mining activity.”Additionally, it was proposed that the tax would start on January 1 and be phased in over three years at a rate of 10% per year, increasing to the maximum tax rate of 30% by the third year. The tax was also said to take effect after December 31.
The plan sparked a lot of controversy within the crypto community and crypto-friendly political organizations.
Trump vs. Biden: Crypto Clash Heats Up
On the other hand, former US President Donald Trump who is vying for the coveted seat has notably been vocal about his stance towards digital assets. Whether this outspokenness is solely aimed at wooing crypto proponents or genuinely reflects a commitment toward the industry, Trump’s stance is drawing attention.
Recently his campaign began accepting Shiba Inu for his campaign donations. Besides SHIB, the Trump campaign also accepts Bitcoin, Ethereum, Dogecoin, Solana, and XRP. In his “Make America Great Again” campaign, the presidential candidate presents himself as the defender of American freedom and innovation prepared to welcome new technologies.