Jesse Powell, founder and chairman of cryptocurrency exchange Kraken, has donated $1 million to former President Donald Trump’s 2024 election campaign. The offering, primarily in Ethereum (ETH), marks an important moment in the crypto community’s engagement with US electoral politics.
Jesse Powell, who stepped down as CEO of Kraken in 2022, announced his support for Trump in a detailed post on X. In his announcement, Powell emphasized Trump’s pro-crypto stance as an important factor for the future of blockchain technology in the US “I am very excited to join other leaders of our community to come together after representing a large pro-crypto party in the 2024 Presidential election to “The United States continues to be a leader in blockchain technology,” Powell elaborated in his post.
The Crypto Industry Stands Together Behind Trump
Powell’s decision to finance Trump stems from growing discontent within the crypto sector regarding Biden’s current regulatory strategies, which many see as restrictive and damaging to the ecosystem. Powell specifically criticized the “unchecked regulatory push for coercion” under the Biden administration, highlighting the opposition of figures such as Senator Elizabeth Warren and SEC Chairman Gary Gensler, who appear to be unfavorable to the crypto industry.
These regulatory challenges are a major concern for crypto entrepreneurs and investors who believe that stricter policies could hinder the US’s ability to compete with other countries that have clearer and more supportive crypto laws. The sentiment in Powell’s statement reflects broader fears that the US may be lagging behind in the global race for blockchain innovation and leadership.
Donald Trump’s position on Bitcoin and cryptocurrencies has changed a lot over time. Skeptical at first, Trump has recently adopted a tone of strong support for the Bitcoin and crypto industry. This change is reflected in various speeches, his campaign move to accept donations in various cryptocurrencies, a strategic decision that has attracted a lot of support from prominent people within the crypto space.
Celebrities like Cameron and Tyler Winklevoss, founders of crypto exchange Gemini, and Cathie Wood, CEO of Ark Invest, have also voiced their support for Trump, citing his progressive stance on crypto as important. This endorsement by leading industry figures underscores the potential pivot in the political dynamics surrounding crypto.
On the contrary, the administration of President Joe Biden did not clearly state the exact position regarding crypto, but they pursued a secret “Operation Choke Point 2.0”. Apart from this, reports emerged that the Biden campaign wants to engage with the crypto community. The campaign is reportedly in talks to accept crypto donations through Coinbase Commerce, indicating that there may be an opportunity to accept digital assets.
As the 2024 US presidential election approaches, the issue of crypto regulation is poised to become a major point of debate. Jesse Powell’s big donation and Donald Trump’s public support show a growing tendency among crypto leaders to support people they believe will represent favorable regulatory environments.
In addition, Trump has hinted at the possibility of pardoning Ross Ulbricht, the founder of Silk Road, an initiative widely supported within the Bitcoin and crypto community. Notably, Powell’s use of the hashtag “#freeross” echoes Trump’s previous commitment in this regard.
At press time, BTC traded at $61,541.
Featured image from X @jespowchart from TradingView.com
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