According to the New York Digital Investment Group (NYDIG), Bitcoin will gain political importance following the US election victory of Donald Trump and the Republican Party, and investors who do not own cryptocurrencies will no longer buy Bitcoin. He says he can’t ignore the coin.
“While some investors are allocating to Bitcoin, the most common allocation for investors is still zero. There are no more excuses,” Greg Cipolaro, head of global research at NYDIG, said on November 11. In a memo, he added:
“It’s now becoming a political imperative.”
“If you don’t own an asset, it’s going to become a liability in the future,” he says. “Investors who find it easy to dismiss or ignore an asset for various reasons will continue to do so at their financial peril.”
Bitcoin (BTC) is up 84% this year and continues to hit new highs of nearly $82,000, helped by Trump’s election victory.
Bitcoin hit an all-time high of $81,943 on Coinbase on November 11th. Source: TradingView
Republicans, who backed the bill that the crypto industry has championed, now have a majority in the Senate and appear on track to take some seats from Democrats and maintain their majority in the House.
Cipolaro said the crypto industry now sees itself as having a “seat at the table at the highest levels of government,” which could lead to crypto and blockchain “further acceptance into the mainstream financial system.” He said there is.
He added: “In 2025, there could be new heads of office in nearly every major government agency or department with real potential for eventual pro-crypto legislation and regulation. It’s expensive,” he added.
President Trump has vowed to fire Securities and Exchange Commission Chairman Gary Gensler “on day one,” and his team is reportedly eyeing Robinhood Markets’ general counsel as a top candidate. are.
The SEC has filed a number of lawsuits against Gensler’s crypto companies, but Cipolaro speculates that the cases could be rolled back.
“A change in leadership after the election could introduce a more flexible regulatory philosophy,” he said. “This has led to the SEC seeking settlements with these companies, allowing them to operate within a clarified regulatory framework, or in some cases, inter alia, determining that those companies are not serving the best public interest. If it is deemed so, certain lawsuits may be dismissed entirely.
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He added that the SEC could also waive potential enforcement actions notified to Robinhood, Crypto.com, ConsenSys, Uniswap, and Immutable through Wells notices.
Cipolaro said that, along with a new attorney general, new heads of departments at the Federal Deposit Insurance Corporation, the Office of the Comptroller of the Currency, and the Treasury Department “are expected to move toward a more crypto-friendly posture.” .
Cipolaro said the new regulator could take a more favorable stance toward banks that deal with cryptocurrencies, and could “help banks in providing custody services for digital assets, including stablecoins. ” he said.
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