KEY POINTS
- The new nominee should commit to ensuring crypto growth in the US: Jake Chervinsky
- The nominee should also acknowledge that the SEC failed in its enforcement-first approach, Chervinsky said
- Biden endorsed Harris but the Democratic Party has yet to officially choose a new Trump challenger
The cryptocurrency space has only recently started making waves in politics, and with the latest developments around the Democratic Party, a prominent crypto lawyer believes the party now has a "huge opportunity" to woo crypto voters.
Shifting dynamics within the Dem party
U.S. President Joe Biden dropped out of the race Sunday night, endorsing Vice President Kamala Harris as the Democratic nominee, and opening a path for other potential candidates to become his replacement.
The Biden administration has been called out multiple times by key crypto figures for its "hostility" toward the industry. On the other hand, it appears the Biden campaign had a slight change of heart ahead of the president's withdrawal, reportedly reaching out to stakeholders to discuss policy.
Even with Biden's endorsement of Harris, she still has to prove to the party that she can be a serious challenge for GOP candidate Donald Trump. Harris' stance on crypto is largely unknown. She has neither criticized nor supported the sector publicly.
New nominee has a chance to reset the Dem narrative: Lawyer
For top crypto lawyer Jake Chervinsky, Biden's withdrawal should be an opportunity for Democrats to "win back a big share of the crypto vote." In a lengthy post on X (formerly Twitter) Sunday, he explained why crypto voters "should be top priority." He said the November elections "will be won on the margins in states where crypto is a live issue."
With President Biden stepping aside, the Democratic Party has a huge opportunity to win back a big share of the crypto vote.
— Jake Chervinsky (@jchervinsky) July 21, 2024
This should be top priority for the new nominee in an election that will be won on the margins in states where crypto is a live issue.
Here’s why:
It's…
Chervinksy believes that even if the Biden administration has been hostile toward the digital assets space, there are still many Democrats who recognize the industry's potential and they want to see it thrive in the country.
He went on to note that "a huge number of crypto supporters identify as Democrats or left-leaning independents who aren't single-issue voters." He added that many crypto supporters don't want to support Republican candidates due to other non-crypto issues, but "also can't stomach another four years of catastrophic crypto policy like we've had under Biden."
Chervinsky said Biden's move now gives a new Dem nominee a chance to "flip the script and win back a meaningful number of crypto voters" by quickly providing reassurance that they can vote blue in the upcoming elections.
He said the nominee should make a commitment to ensuring that the sector will grow within the country and also acknowledge that the U.S. Securities and Exchange Commission (SEC) has failed in its enforcement-first approach toward regulation. The nominee should come out with a policy platform with a balanced approach toward investor protection and crypto innovation.
Finally, the nominee should also publish a list of potential appointees who will "lead federal agencies that matter most to crypto," and reach out "directly" to key stakeholders to break ground on the difficult task of drafting good policy.
Calls for positive legislation
Earlier this month, technology coalition the Chamber of Progress wrote to the President, urging him to support positive crypto legislation ahead of the elections. Their call may be directed to the next Democratic nominee, considering how they said such a move can provide the next administration "with a chance to lead on an issue young voters identify with."
It remains to be seen who the Democratic Party will select to replace Biden even if Harris already has the President's endorsement. Still, a growing number of crypto figures believe Democrats should start wooing crypto voters now.
