Andreessen Horowitz’s (a16z) crypto arm sees former President Donald Trump’s re-election as a catalyst for a new era in crypto regulation, urging projects to embrace decentralized solutions and build confidently in the U.S.
The venture capital firm, which has invested heavily in crypto and web3 startups, sees Trump’s pro-crypto stance as a way forward, according to a blog post on Monday.
The firm’s crypto legal and policy experts—Miles Jennings, Michele Korver, and Brian Quintenz—outlined how the new political climate could pave the way for regulatory clarity.
With the election now decided, “we believe this is an incredible opportunity to build on the bipartisan progress from the last Congress,” they wrote.
Donald Trump and Bitcoin: From 'Not a Fan' to Crypto President—With His Own Meme Coin
Bitcoin-friendly Donald Trump won the election in November, and was inaugurated Monday as the 47th President of the United States of America. But ahead of being formally sworn in, the commander in chief dropped a meme coin on Friday. Yes, you read that right. Running on the Solana network, the TRUMP token already has a market cap of over $8 billion, putting it among the 30 most valuable coins on the market. The move signaled the incoming President’s growing enthusiasm for the digital asset space...
The experts’ core message to crypto founders is to leverage the new administration’s openness towards digital assets. “Where there is trust, there is regulation,” the experts reminded builders, urging them to eliminate centralized dependencies to stay compliant.
The trio notes now is the time for projects that have held back on using tokens due to regulatory concerns. With Trump’s pro-crypto approach, founders should feel confident in using tokens as “legitimate and lawful tools,” according to experts.
“Today’s all-time high, driven by a Trump election win, signals that we are in the midst of a potential paradigm shift into the next phase of growth for crypto,” OKX chief legal officer Mauricio Beugelmans told Decrypt.
Much of the optimism stems from Trump’s campaign promises to ease restrictions on crypto and replace Securities and Exchange Commission Chair Gary Gensler, whose strict enforcement approach has been a thorn in crypto’s side.
Trump Election Was the 'Most Important Day for Crypto': Galaxy's Mike Novogratz
Galaxy Digital Holdings continued to operate at a loss last quarter as the cryptocurrency market cooled—but an executive shrugged off the news in an earnings call Thursday, citing the potentially massive impact that the incoming Trump presidency could have on its business. And CEO Mike Novogratz described Trump's reelection as a massive moment for crypto. The crypto firm reported a net loss of $54 million in the third quarter, marking its second straight quarter operating in the red. The company...
“We hope forward-looking regulation that protects the industry and users and cultivates crypto innovation in America will become a bipartisan topic in the future,” Beugelmans added.
Trump’s re-election has sparked enthusiasm in the markets, with Bitcoin reaching new all-time highs well above $80,000.
“The confirmation of Republicans winning the House could provide an additional boost to the risk rally, but we may see some profit-taking in the coming weeks or months as actual policies are tested,” Aurelie Barthere, Nansen’s principal research analyst, told Decrypt.
Edited by Sebastian Sinclair
