Bitcoin Isn’t Political

In case you haven’t heard, we have an election coming up in the United States. For what feels like years, our televisions, social media feeds, and news cycles have been fully engrossed with campaign advertisements for former President Donald Trump and Vice President Kamala Harris. The results of the 2024 Presidential election will be known to the public sometime next week. No matter which candidate wins, different plans and policies will be put into place to guide the country forward over the next four years.

When speaking about the differences between the two candidates and on a broader spectrum of Republican versus Democrat, there are many contentious issues that people disagree on:

• The border and illegal immigration

• Inflation and the debt spiral

• Abortion

• Health care

• Social Security and other government aid

• Taxes and tax brackets

• Tariffs

• Conflict overseas and specifically in the Middle East and Ukraine

• Diplomacy tactics with China and Russia

The list goes on and on. Every issue above relates to our society in some way but is also undeniably “political.”

Some of the issues above have also been pushed much more than others in the news cycle because they elicit polarizing and strong emotional reactions from people.

This is how political campaigning works.

However, there is one issue, idea, and topic that was not mentioned: Bitcoin.

Bitcoin wasn’t mentioned because Bitcoin is not political. As a blanket statement, I believe this to be 100% true. Bitcoin has no CEO, no marketing team, and no hidden agenda. It does not care who or what supports it. All Bitcoin cares about is instilling the next block in cyberspace’s time-chain roughly every ten minutes. Tick-tock, next block.

Over a longer time horizon, I expect this to be extremely obvious to everyone. I expect any true opponents of Bitcoin will continue to be proven completely wrong. However, in the short term, this Presidential election may have some impacts.

Former President Donald Trump has spoken at this year’s Bitcoin conference and has stated support for Bitcoin and the crypto market numerous times. He also has teamed up with Robert F. Kennedy Jr, someone who arguably gave one of the best Bitcoin speeches of all time. If former President Donald Trump wins, I expect the Bitcoin market to react positively almost immediately.

On the flip side, Vice President Kamala Harris has been part of an administration that, coupled with the SEC chair, Gary Gensler, has seemingly attacked Bitcoin and the crypto market at any opportunity they can. Recently, Vice President Harris has spoken positively about crypto so it is possible under her administration, things would be different. But at a base case, I expect if she wins, the Bitcoin market will react negatively in the short term.

Regardless of what either candidate says about Bitcoin, until they act their words are just words. Either candidate could just be pandering for the votes they need to win.

I will emphasize that in the long term, it does not matter who wins this election when looking at Bitcoin because Bitcoin isn’t political. Opposing Bitcoin is like opposing the automobile or the internet. Bitcoin has emerged from a value of zero to being the 6th most valuable currency in the world in just under 15 years. This trend only continues as more institutions, companies, countries, and individuals continue to realize that Bitcoin is not going away.

In the event the United States realizes this and holds a strategic reserve of Bitcoin, the price will skyrocket. In the event the United States aims to take restrictive action on Bitcoin, other countries, especially the rivals of the United States will surely step up and adopt opposite policies. There is too much game theory involved with Bitcoin. Game theory coupled with limited supply and increasing demand only leads to one outcome: a higher price and more adoption.

Bitcoin is Bitcoin, not a political argument.

Stack SATs.

The views and opinions expressed here are for entertainment purposes only and should, in no way, be interpreted as financial or investment advice. Always conduct your own research when making an investment or trading decision, as each such move involves risk. I am not a financial advisor and do not claim to be qualified to convey information or advice that a registered financial advisor would convey to clients as guidance. Nothing contained in this e-mail/article constitutes, or shall be construed as, an offering of financial instruments, investment advice, or recommendations of an investment strategy. If you are seeking financial advice, find a professional who is right for you.