The next-elected US president’s backing of cryptocurrencies, combined with his influential personality, is set to induce a turning point for crypto adoption among everyday Americans.
GlobalData Global Product Holding Analytics 2024
Currently, only 15% of Americans own cryptocurrencies, according to GlobalData’s Global Product Holding Analytics 2024 . Donald Trump’s plan to end the Securities and Exchange Commission’s (SEC) “war on cryptocurrencies” and make America the “crypto capital of the planet” includes removing SEC chair Gary Gensler on his first day in office. Trump has also proposed establishing a US bitcoin strategic reserve and supporting mining facilities over the medium term, which would signal a new era of federal support for crypto.
GlobalData 2024 Financial Services Consumer Survey
Those relatively few crypto-holding Americans are among the most frequent global users for non-investment purposes—such as making purchases and P2P transfers—according to GlobalData’s 2024 Financial Services Consumer Survey. This indicates that, so far, crypto has mostly been embraced by some highly enthusiastic subgroups of the population who often rebel for a DeFi future, as opposed to serving as a widespread medium of exchange or store of value.
In a sudden change of stance over cryptocurrencies, Trump positioned himself as the crypto-friendly candidate during his presidential campaign, launched a new DeFi venture (World Liberty Financials), and vowed to crack down on growing regulatory oversight. This move has attracted support from crypto enthusiasts, who are largely concentrated among specific demographics. For instance, GlobalData’s Global Product Holding Analytics 2024 shows that the crypto ownership rate is currently double among American:
As Trump was able to gain the attention and support of the average American during the electoral campaign that led to his victory, his strong influence is now expected to spill over to the crypto scene as well and boost uptake among the wider masses.
Potential regulatory changes the Trump administration might target
Deregulation and widespread crypto adoption under Trump are likely to mark the beginning of a new decentralised financial reality. Potentially weakening the Fed’s and SEC’s roles in the financial system, on the other hand, can induce wider financial volatility and instability on a global scale.
Blandina Hanna Szalay is an Analyst in Banking & Payments at GlobalData
"Cryptos will finally go mainstream in US under Trump’s wider financial deregulation plans" was originally created and published by Retail Banker International , a GlobalData owned brand.
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