FameEX Hot Topics | Harris Outperforms Biden but Falls Behind Trump on Crypto Policy

United States presidential candidate Kamala Harris is more favorable toward cryptocurrency than President Joe Biden but still less pro-industry than her rival Donald Trump, according to an October 14 report by Galaxy Research. Harris aims to improve the regulatory environment for U.S. crypto firms, although she holds less favorable positions on issues like taxes, Bitcoin mining, and self-custody.

Alex Thorn, head of research at Galaxy, shared these insights on X (formerly Twitter), noting, "While Trump is undoubtedly more favorable for the industry, we’re optimistic that Harris could be more supportive than Biden has been." This suggests that Harris may adopt a more constructive approach to crypto regulation compared to the current administration.

The upcoming November presidential election features Republican nominee Trump, who has vowed to make the U.S. "the crypto capital of the world," and Democrat Harris, who has been relatively quiet on crypto-related matters. Under Biden's administration, the U.S. Securities and Exchange Commission (SEC) has taken a strict approach, bringing over 100 regulatory actions against crypto firms. In contrast, Trump has promised to fire SEC Chair Gary Gensler if elected, signaling a potential shift in the regulatory landscape.

Since September, Harris has increased her focus on blockchain technology, listing it as one of several emerging technologies where she aims to ensure U.S. dominance. Galaxy Research suggested that this could signal a more favorable regulatory stance toward crypto. On October 2, the resignation of SEC head of enforcement Gurbir Grewal added to speculation of a potential policy shift within the current administration.

However, Harris remains "extremely hostile" toward the industry on taxes. Galaxy Research pointed out that her plan to roll back Trump’s tax cuts could lead to higher capital gains taxes for crypto holders, making her policies less appealing to the crypto community.

Trump, on the other hand, has expressed strong support for Bitcoin mining, equating it with manufacturing. He has also promised to protect the right of self-custody, which allows individuals to manage their own crypto assets. Harris has not yet taken similarly supportive positions on these issues, and both candidates remain focused on imposing financial sanctions on foreign adversaries using cryptocurrency, according to Galaxy Research.

Disclaimer: The information provided in this section is for informational purposes only, doesn't represent any investment advice or FameEX's official view.