Trump’s Potential Re-Election Could Benefit Bitcoin

Standard Chartered: Trump’s Potential Re-Election Could Benefit Bitcoin

A research note published by Standard Chartered suggests that if Donald Trump is elected to a second term as President of the United States in November, this could have a positive impact on Bitcoin (BTC). The Trump administration will likely be less strict on Bitcoin than a potential Biden administration, according to Geoffrey Kendrick, a digital asset researcher at Standard Chartered.

While officials in the Biden administration have taken a relatively tough stance on digital assets, Trump expressed a different view in an interview in March, stating that he would not take a hard line against Bitcoin or other cryptocurrencies if re-elected. The report also suggests that import tariffs under Trump’s presidency could lead many major reserve managers to buy Bitcoin in 2025.

Kendrick also notes that if Trump wins, foreign government buyers of U.S. Treasury securities may choose to shift their investments to alternative financial assets like Bitcoin as a precautionary measure. This potential shift in demand could increase the price of the cryptocurrency.

Trump’s previous stance on cryptocurrency was more critical but he appears to have softened his position. At a town hall event in South Carolina earlier this year, he acknowledged Bitcoin’s growing acceptance, stating that “a lot of people are embracing it” and that he can “live with it in one form or another.” But he still referred to cryptocurrencies as “crazy new currencies.”