Regulation

Democrats Write to DNC on Crypto Policy Ahead of US Elections

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Several US Democratic lawmakers and candidates have now written to the Democratic National Committee (DNC), calling for a change in the party’s approach to the digital asset sector. This development comes as Republican presidential candidate Donald Trump has continued to earn more popularity as a cryptocurrency advocate ahead of the upcoming US elections.

Democrats buck Trump, try to change minds on cryptocurrency policy

In a addressed letter To DNC Chairman Jamie Harrison on July 26, 14 lawmakers and three presidential candidates called on the U.S. Democratic Party to adopt a progressive stance on cryptocurrency and blockchain technology, saying the nascent sector offered potential to foster American innovation and economic development.

Concerned Democrats have noted that the party is currently widely seen as an “anti-crypto” entity due to the SEC is tough approach to the digital asset sector under Joe Biden. They insisted on the importance of changing this perception since America is home to 52 million cryptocurrency users.

Regarding the upcoming election, they also explained that recent polling data identifies 19% of voters as cryptocurrency investors, 19% of whom are Democrats. They also said that cryptocurrencies have rapidly gained traction among key Democratic demographics, namely Black and Latino Americans, Gen Z, and even immigrants.

Furthermore, the letter from these Democrats communicated that over 20% of voters in swing states highlighted cryptocurrency policy as a major focus in the upcoming elections; therefore, the party should present a position acceptable to the population, which introduces adequate regulations and at the same time protects the interests of consumers.

A statement contained in the letter reads:

Digital assets and blockchain technology are not just financial instruments, they represent a revolutionary change that can improve transparency, reduce fraud, and create a more inclusive financial system. We believe this technology is nonpartisan and that the Democratic Party should also support these innovations to help reaffirm the United States’ position as a leader in the global digital economy.

The road ahead

Moving on, interested Democrats see the emergence of Vice President Kamala Harris as the party’s new presidential nominee as an opportunity to make much-needed changes to cryptocurrency policy. First, they are calling on the party to start propagating the potential benefits of digital assets on their official platforms.

Additionally, they are pushing for the selection of a pro-crypto vice presidential candidate with a track record of drafting progressive, innovation-focused policies. These 14 Democrats also stressed the importance of selecting a new SEC that is more open-minded about digital assets, thereby ensuring financial inclusion while safeguarding consumer interests.

Furthermore, they pushed presidential candidate Harris and Mr. Jamie Harrison to start now discussions with digital resources experts to formulate appropriate and suitable regulatory policies.

Total cryptocurrency market valued at $2.341 trillion on daily chart | Source: TOTAL chart on Tradingview.com

Featured image from Getty Images, chart from Tradingview

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