On Sunday, Democratic candidate Kamala Harris made her first public mention of cryptocurrency during her presidential campaign, telling donors at a Wall Street fundraiser that she would “encourage innovative technologies like AI and digital assets while protecting our consumers and investors.”
The comments further divided a polarized crypto industry, which contributed more than $200 million to Republican and Democratic candidates during the campaign cycle but criticized Harris’ predecessor, President Biden, for his administration’s heavy-handed approach to blockchain regulation.
While Harris has yet to share any substantive policy regarding crypto, including her stance on the litany of bills languishing in Congress, industry leaders such as Uniswap’s Hayden Adams viewed Sunday’s remarks as a positive step forward for the Democratic Party.
“Yes, Biden has been bad for crypto,” Adams wrote on X. “But progress is progress, it has to start somewhere and it has to be encouraged.”
Commenters were quick to note that Uniswap is under investigation — and possible civil charges — by Biden’s Securities and Exchange Commission.
🦄 Kamala just said she will encourage innovative technologies like DIGITAL ASSETS
I believe this is the first time she has publicly referenced crypto and it’s in a positive way https://t.co/NLdDcYZira
— Hayden Adams 🦄 (@haydenzadams) September 22, 2024
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Before FTX’s collapse in November 2022, Congress appeared poised to consider bipartisan bills on a variety of crypto-related issues, including establishing oversight for stablecoins and digital asset market structure. But the loss of billions in customer assets—and Sam Bankman-Fried’s embarrassing role as a high-profile donor—shut down any legislative process and triggered a wave of enforcement actions from regulators, including the SEC and the Justice Department.
While a handful of Democratic members of Congress have continued to push for cryptocurrency regulation, the majority of support has come from Republicans, leading much of the industry to back Donald Trump’s presidential bid. After calling Bitcoin a “scam” just two years ago, Trump has also embraced the blockchain sector, announcing a new DeFi project led by his sons and even visiting a New York City Bitcoin bar ahead of a campaign stop on Long Island last weekend.
The Harris administration has remained largely silent on its position on blockchain regulation, relying on advisers who have represented both sides of the debate. And while a group called Crypto For Harris emerged, led by digital asset industry leaders to raise money for the Democratic candidate, Harris made no explicit mention of blockchain technology until Sunday.
The vague comments drew mixed reactions. Democratic-leaning industry executives like Paradigm’s chief policy officer Justin Slaughter hailed Harris’ remarks as “progress” on X. But as Variant’s chief legal officer Jake Chervisnky noted, her call for “consumer protection” could also be interpreted as new enforcement measures.
