Source: Cointelegraph, compiled by: Jason. Jinse Finance
Whether sincerely or not, Trump has begun to venture into the cryptocurrency field, trying to attract cryptocurrency voters.
This year, the Republican Party of which Trump is a part released a draft political plan, which specifically mentioned cryptocurrencies in the innovation plan section, second only to artificial intelligence and space expansion development plans, summarizing Trump's main cryptocurrency goals as:
"The Republican Party of America will end the Democratic Party's illegal and un-American crackdown on cryptocurrencies, will defend the right to mine Bit, and ensure that every American has the right to custody their own digital assets and transact without government surveillance and control."
Furthermore, Trump made a startling statement at the 2024 Bit Conference in Nashville, saying, "I assure the Bit community that on the day I take the oath of office, Biden and Harris's anti-cryptocurrency campaign will end."
But the question is, can Trump really deliver on his promises? Let's first take a look at what bold "Bit promises" he has actually made -
Promise One: The Remaining Bit to be "MADE IN THE USA"
The Bit supply cap is 21 million, of which 90% have already been mined.
On June 12, Trump posted on his social media platform Truth Social that he wants "all the remaining Bit to be produced in the USA", claiming that this would help the US become an "energy leader".
Trump's goal is to strengthen the US Bit mining industry and keep Bit produced domestically, but due to the decentralized nature of Bit mining, this goal may face significant challenges. Bitfarms CEO Ben Gagnon explained:
"It is absolutely possible and desirable for the US to become the world's largest Bit mining country, if Trump reduces red tape and increases support and investment in energy and power infrastructure, the US will consolidate its position as the most competitive place for global Bit mining. But the problem is that due to the decentralized infrastructure of Bit, no single country can mine all the Bit, it is impossible and undesirable for the remaining Bit to be mined in the US or any other single country, and concentrating the mining business in a single jurisdiction would fundamentally go against the core principles and basic values of Bit's creator Satoshi Nakamoto, which is decentralization."
Promise Two: Use Bit to Solve America's $35 Trillion National Debt
Trump stated at an event related to his Non-Fungible Token activity: "Cryptocurrencies have a bright future. I think so, and maybe we can use cryptocurrencies to pay off the $35 trillion in national debt."
The US national debt refers to the total outstanding borrowing by the US federal government accumulated over its history. According to relevant fiscal data, over the past 100 years, the US federal debt has grown from $394 billion in 1924 to over $35 trillion in 2024.
The ever-increasing US public debt will bring imminent risks and could even lead to serious long-term economic problems.
Ric Edelam, founder of the Digital Assets Council of Financial Professionals, believes that cryptocurrencies can help solve the long-standing national debt problem in the US, and Bit reserves can significantly reduce or even eliminate the US national debt, but the problem is that Trump may not be able to successfully establish a reserve fund, or even if he succeeds, his successor may cancel it, so Trump's "using cryptocurrencies to solve the US national debt problem" should be just an interesting statement during his campaign, nothing more.
Promise Three: The US Will Establish a Strategic National Bit Reserve
In addition to making the US a global leader in Bit mining, Trump also plans to create a strategic Bit reserve, and promises that if elected president, he will appoint a Bit and cryptocurrency presidential advisory council to design transparent regulatory guidance for this market.
However, the Bit held by the US government includes many assets seized by law enforcement in criminal cases, which may pose a challenge to Trump's plan, including the seizure of BTC from the Bitfinex hack, which essentially belong to the victims, so if Trump pushes ahead with the establishment of a strategic national Bit reserve, he may face potential legal pressure.
Fortunately, US Senator Cynthia Lummis has already introduced a bill to establish a Bit strategic reserve, which, if approved, will create a Bit fund to hedge the US national debt, with the goal of acquiring 1 million BTC within five years and holding it for at least 20 years. With the support of the US Congress, Trump's plan to create a Bit reserve may actually have a chance of being realized, but it still requires some of Trump's congressional colleagues to recognize the potential of Bit.
Promise Four: Firing Current SEC Chairman Gary Gensler on the First Day in Office
Many industry insiders have criticized the "enforcement-style regulation" that the US Securities and Exchange Commission has taken towards the cryptocurrency industry, and indeed, under the leadership of Gary Gensler, the SEC has sued multiple large cryptocurrency companies, accusing them of selling unregistered securities.
The US cryptocurrency industry has been working hard to promote regulatory clarity, arguing that the current guidance from the SEC remains ambiguous. According to industry observers, the lack of clear rules has created uncertainty and hindered the market participation and growth of the US cryptocurrency industry.
One of Trump's clearest promises is to fire the current SEC Chairman Gary Gensler on his first day in office, believing that new leadership will bring a more cryptocurrency-friendly regulatory environment and help the US cryptocurrency industry develop. However, can Trump really quickly fire Gary Gensler?
To be frank, firing Gary Gensler may not be as easy as Trump imagines, as although he does not need Senate approval to fire Gensler, such a hasty dismissal of an influential regulator could set a dangerous precedent, meaning Trump would have to find "proper grounds" to fire the SEC chairman, such as dereliction of duty, inefficiency or other forms of misconduct, and the entire process of determining the reason for dismissal, legal review, and administrative transition could take more than a year.
So, in the end, Trump will most likely have to coexist with Gary Gensler for a period of time until a successor is in place.
Promise Five: The US Will Stop Developing CBDC
Trump has promised to prevent the US Treasury Department from developing a central bank digital currency (CBDC), indicating that he opposes the government's efforts to increase control over digital assets. At the Bit conference in Nashville, Trump stated: "There will never be a CBDC under my presidency, that technology poses an imminent threat to financial privacy."
Trump is not the only one opposed to CBDC, many US Republican politicians have also publicly spoken out against it, such as:
Florida Governor Ron DeSantis has signed a bill restricting the use of CBDC in the state;
US Congressman Tom Emmer has introduced the "CBDC Anti-Surveillance State Act" bill, which prohibits the Federal Reserve from issuing CBDC without congressional approval, and this bill is still under consideration.
Promise Six: Commute the Sentence of Silk Road Founder Ross Ulbricht
Trump has promised to commute Ross Ulbricht's sentence on "the first day" in office. It is undeniable that Ross Ulbricht's sentence is highly controversial and overly harsh - double life imprisonment plus 40 years without parole for a non-violent crime. Critics argue that compared to similar crimes, the punishment of Ross Ulbricht may have exceeded the bounds of US justice.
Trump said: "We will bring him (Ross Ulbricht) home, he has already served 11 years."
On this promise, Trump can quickly fulfill it, because the US President has the power to reduce the sentence or mitigate the conviction of a federal crime. Although commutation does not absolve Ross Ulbricht of his crimes, it can allow him to be released early.
Promise Seven: Create a Crypto Advisory Council to Develop Precise Crypto Policies
Cryptocurrencies are a broad and complex topic, especially for regulatory authorities. Trump said that if re-elected, he will establish a presidential advisory council to ensure that a robust regulatory framework for cryptocurrencies becomes law.
Trump said, "We will make regulations, but from now on, the rules will be set by those who love the crypto industry, not those who hate it. The Crypto Council's mission is to design transparent regulatory guidelines in the interest of the entire industry, and they will complete this task within 100 days."
Anonymous crypto market analyst and trader Crypto Rand pointed out that this promise from Trump may be one of the most important, as he believes Congress and the US Securities and Exchange Commission have repeatedly shown a lack of understanding of the crypto industry and its development.
Promise Eight: Enshrine Crypto Self-Custody as a Right
Trump has promised to enshrine the right of cryptocurrency users to self-custody, which is essentially to enshrine "not your keys, not your coins" into US federal law.
Republican Senator Ted Budd introduced legislation supporting Trump's commitment to the right of crypto self-custody, introducing the "Keep Your Coins Act" in the US Senate on November 7, 2023, aimed at prohibiting restrictions on Americans transacting through self-custodied crypto wallets.
Summary
The results of the next US presidential election will be announced this week. If Trump is indeed elected as promised, it remains to be seen whether the above promises can be fulfilled. However, one thing needs to be reminded to the crypto community, during Trump's political career, he has broken his promises many times.
