Donald Trump US Election Win Inspire Canada’s Crypto Leaders, Here’s How

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As a seasoned crypto investor with a decade-long journey under my belt, I can confidently say that the recent developments in both the US and Canadian cryptocurrency landscapes have sparked renewed optimism and strategic maneuvering among industry players. The shift in political winds, particularly Donald Trump’s victory in the US presidential election, has undeniably ignited a wave of pro-crypto advocacy efforts north of the border.

Having closely observed the evolution of the crypto market, I am well aware that such political shifts can significantly impact regulatory frameworks and investment trends. The $135 million spent by the US crypto industry to support candidates is a testament to this growing influence. It’s fascinating to see Canada’s crypto leaders focusing on grassroots advocacy instead of campaign funding, given our nation’s strict donation limits.

The recent regulatory milestone achieved by Circle’s USDC issuer in meeting the new Value-Referenced Crypto Asset guidelines is a step in the right direction for Canada. However, the ongoing regulatory challenges, such as the listing of stablecoins on crypto trading platforms, are concerning and require immediate attention from policymakers.

The increased transactions and adoption post-US election are indeed encouraging signs. The growing interest in digital assets reflects a rising awareness of their potential benefits. Nevertheless, it’s essential for Canada to stay competitive in the global digital economy, and I believe our leaders understand this call to action.

As we approach the next Canadian federal election, I am hopeful that digital assets will become a central political issue. The push for open banking laws to include crypto and blockchain technology adoption is a positive step forward. However, let’s not forget that 95% of Bitcoin is already mined, so making the US (or Canada) the ‘crypto capital’ might be more about policy than production!

On a lighter note, I can’t help but chuckle at the thought of politicians trying to grapple with the complexities of blockchain technology. It reminds me of my grandma trying to understand Bitcoin – she still thinks it’s a type of coin you find buried in your backyard!

The triumph of Donald Trump as U.S. President, coupled with a surge of pro-cryptocurrency political figures winning their respective races, has ignited curiosity among Canadian cryptocurrency leaders. The U.S. crypto industry significantly poured funds into these elections, allocating approximately $135 million to support candidates via groups such as the Crypto’s Fairshake PAC and other super PACs.

Donald Trump’s US Election Win Spurs Crypto Advocacy Efforts in Canada

Based on a Bloomberg report, the election of Donald Trump as U.S. President and the triumph of pro-cryptocurrency candidates in the elections has sparked greater curiosity among Canadian crypto enthusiasts. The U.S. cryptocurrency sector funneled $135 million into political campaigns, such as Crypto’s Fairshake PAC, which was backed by companies like Coinbase, Ripple Labs, and Andreessen Horowitz.

In response, Canadian cryptocurrency leaders are choosing community activism over political donations due to Canada’s strict contribution restrictions. Around mid-2023, a US-based advocacy organization called Stand With Crypto extended its influence into Canada. This group is rallying local citizens to interact with lawmakers and educate them about digital currencies.

Canada’s increasing curiosity about cryptocurrency advocacy has led to a significant regulatory achievement. Recently, the stablecoin issuer Circle became the first to comply with the new Value-Referenced Crypto Asset (VRCA) regulations established by the Ontario Securities Commission (OSC) and the Canadian Securities Administrators (CSA). This compliance means USDC can continue to be offered on compliant platforms within Canada.

Focus on Policy Reforms and Stablecoin Regulation

Canada’s cryptocurrency sector has pinpointed crucial policy changes, such as regulating stablecoins, allowing Bitcoin inclusion in retirement plans, and offering tax-free savings account alternatives for digital currencies. In late 2023, the Canadian Securities Administrators enacted tighter regulations, restricting the listing of stablecoins on cryptocurrency exchange platforms.

As a researcher delving into the intricacies of the digital currency sphere, I’ve observed a notable trend: Key players such as Binance, Bybit, and OKX have chosen to withdraw from the Canadian market due to regulatory complexities. The consensus among industry leaders is that stablecoins should be governed as payment instruments instead of securities, mirroring global standards in this regard. This contentious matter continues to be a primary concern for crypto enthusiasts in Canada, who are advocating for clear and consistent regulations in the sector.

Increased Transactions and Adoption Post-US Election

After Donald Trump’s victory in the election, cryptocurrency prices and trading activity have significantly increased not only in the United States but also in Canada. Companies like WonderFi Technologies observed an uptick in customer transactions, while Coinbase Canada reported a surge in new user registrations. This trend suggests a growing understanding of the potential advantages that digital assets can offer.

The chief executive officer of WonderFi Technologies Inc., Dean Skurka, commented,

While we are optimistic, it’s important to note that this hasn’t been a significant factor in Canadian elections historically, and in the U.S., this is its debut as a major election topic. Let’s hope that the initial positive reaction to it serves as a catalyst for Canadian politicians to give it due consideration.

Lucas Matheson, the CEO of Coinbase Canada, underscored the necessity for remaining agile in the international digital marketplace. He highlighted the Trump administration’s crypto-friendly appointments and rising adoption within the U.S. as a wake-up call for all players in the industry.

Matheson added,

As an analyst, I find it crucial to emphasize that substantial transformations are imminent in the U.S.’s utilization of the digital economy, a development that Canadians should not overlook. It’s essential for us to actively participate rather than remain passive spectators as the global community navigates the benefits of digital assets.

As the Canadian federal election draws near, the nation’s key figures are keen on turning digital assets into a pivotal political matter. The sector is urging the implementation of banking regulations that encompass cryptocurrencies, while also promoting the widespread use of blockchain technology.

In simpler terms, Donald Trump’s pledge to establish the U.S. as a leading hub for cryptocurrencies has encountered hurdles because 95% of Bitcoin is already mined, leaving little room for domestic production. Moreover, the dependence on mining equipment primarily from China makes it difficult to control and centralize the operations within the U.S.

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2025-01-02 22:44