US-listed crypto stocks jump after Trump’s pro-bitcoin speech

Shares of New York-listed cryptocurrency companies gained ahead of the open on Monday after Republican presidential candidate Donald Trump praised Bitcoin and promised friendlier regulations for the sector.

Shares of cryptocurrency exchange Coinbase (COIN) rose 3.7 percent, while shares of miners Bitfarms (BITF), Riot Platforms (RIOT) and CleanSpark (CLSK) gained between 3.4 percent and 4.5 percent.

“The crypto market is interpreting a Trump win scenario more positively for crypto, given the Biden administration’s strong regulatory push against crypto and Trump’s pro-bitcoin statements,” Bernstein analysts wrote in a note.

Cryptocurrency executives have frequently complained of excessive scrutiny and a hostile regulatory environment under President Joe Biden.

But Securities and Exchange Commission Chairman Gary Gensler, the administration’s top crypto enforcement officer, defended his view of the industry, citing the wild volatility and speculative nature of tokens like bitcoin (BTC-USD).

However, the cryptocurrency has quickly moved from the fringes of the financial world to the mainstream with the support of institutional investors and the approval of exchange-traded funds tied to the spot price of Bitcoin and Ethereum.

A Trump win could further boost the industry. On Saturday, he said his administration would create a national bitcoin “stockpile,” using the crypto currently held by the U.S. government, which has largely been seized through law enforcement actions.

The Republican candidate has previously said he wants all remaining Bitcoin to be mined in the United States.

“The Golden Girl scenario is emerging for Bitcoin mining,” Bernstein wrote.

Bitcoin also rose by 2.4 percent, reaching its highest level since mid-June.

(Reporting by Niket Nishant in Bengaluru; Editing by Maju Samuel)