Trump Made Bold Promises at Bitcoin 2024 Conference: From BTC Hodl-ing to Firing SEC Chair Gensler, is This Why BTC Boomed?

The Bitcoin 2024 Conference, held in Nashville, Tennessee, from 25 to 27 July, attracted over 20,000 attendees, making it the largest Bitcoin conference globally and the standout event of the week.

The conference's featured a highly anticipated appearance by Republican Presidential candidate Donald Trump.

In his speech, the 78-year-old politician outlined several potential crypto-related policies, aiming to garner support from the crypto community.

Trump Wants to HODL Bitcoin with a Strategic National Bitcoin Stockpile

The former president, who is running for election in November, has also announced his plan to establish a "strategic national bitcoin stockpile."

This reserve would initially be composed of the bitcoin currently in the possession of the Department of Justice, totalling 210,000 BTC.

Under his administration, Trump has stated that the US would cease selling its cache of seized Bitcoin on the open market and instead retain the asset as a strategic investment.

Trump explained:

“This afternoon, I'm laying out my plan to ensure the United States will be the crypto capital of the planet and the Bitcoin superpower of the world. If crypto is going to define the future, I want it to be mined, minted, and made in the USA. If Bitcoin is going to the moon, I want America to lead the way…For too long, our government has violated the cardinal rule that every Bitcoiner knows by heart – never sell your Bitcoin. Today I am announcing that if I am elected it will be the policy of my administration to keep 100% of all the Bitcoin the US government currently holds or acquires into the future. This will serve, in effect, as the core of the strategic national Bitcoin stockpile.”

He did not specify whether the government should augment this stockpile by purchasing BTC on the open market or by confiscating and holding cryptocurrency from criminals.

Trump has praised Bitcoin advocates for their early understanding of inflation, referring to the leading cryptocurrency as a technological innovation rather than a threat.

He has also emphasised the need for the US to lead in the cryptocurrency sector to prevent China from dominating.

He added:

“If we don't embrace crypto and Bitcoin technology, China will, other countries will, they'll dominate, and we cannot let China dominate. They are making too much progress as it is, and we want them to be successful. I want China to be successful, but we have to be the most successful. And what's going to– what's going to happen? I want the United States to be first in technology, first in science, first in manufacturing, first in artificial intelligence and first in space.”

In addition, in a bid to appeal to cryptocurrency supporters, he has boldly advised, "Never sell your bitcoin," and has speculated that Bitcoin could one day surpass the market capitalisation of gold.

The "digital gold" narrative has long been a cornerstone of Bitcoin's value proposition.

He also noted:

“Those who say Bitcoin is a threat to the dollar have the story exactly backward. Bitcoin is not threatening the dollar. The behavior of the current US government is threatening the dollar. The danger to our financial future comes from Washington DC, from trillions of dollars in waste, rampant inflation, and open borders.”

Shortly after Trump's announcement, Senator Cynthia Lummis unveiled specifics of her own "strategic Bitcoin reserve" proposal.

Her plan includes the establishment of a decentralised network of secure Bitcoin vaults operated by the US Department of Treasury and aims to acquire a total of 1 million Bitcoin for the country to hold.

It remains unclear whether Trump and Lummis are collaborating on this initiative or if these are separate, Republican-led efforts with similar objectives.

However, according to Casa co-founder and CTO Jameson Lopp, there is an unaddressed issue with the plan that warrants attention.

SEC Chair Gary Gensler Might Need to Amend His Resume if Trump's Elected

Amidst thunderous applause from the crowd, Trump declared his intention to dismiss Securities and Exchange Commission (SEC) Chair Gary Gensler on his first day in office and to dismantle policies that hinder crypto investors and companies from utilising digital assets.

He proclaimed:

“The moment I'm sworn in, the persecution stops, and the weaponization ends against your industry. I will appoint a new SEC chairman who believes that America should build the future, not block the future.”

This proclamation highlights Trump's assertive approach to overhauling cryptocurrency regulations.

He continued:

“I pledge to the Bitcoin community that the day I take the oath of office, Joe Biden and Kamala Harris’s anti-crypto crusade will be over.”

He further extolled Bitcoin as a technological marvel that epitomises collaboration and success, a sentiment that bodes well for the Web3 community.

However, transforming America into the global crypto hub is not as straightforward as uttering the words "You're fired."

The insatiable demand for tokenised dollars has granted the US a significant lead, but Web3 is still in dire need of investor protection and regulatory oversight—functions that the SEC is designed to fulfil.

A truly America-first crypto policy should focus on securing dominance in the digital economy for the long term.

In this endeavour, America's robust financial regulatory framework is an invaluable asset.

Trump would be wise to select an SEC chair who recognises this and is poised to take action accordingly.

Crypto Rules to Be Written by Crypto Lovers

Trump declared:

“We will have regulations, but from now on, the rules will be written by people who love your industry, not hate your industry.”

He emphasised curbing the enforcement activities of these regulators and drew parallels between the crypto industry's struggles and his legal battles, citing his claims about the 2020 election.

He added:

“They slander you as criminals but that happened to me, too, because I said the election was rigged.”

In his speech, Trump also promised to establish a crypto industry presidential advisory council and prevent the Federal Reserve from creating a central bank digital currency (CBDC).

This stance aligns with Republican efforts to ban CBDCs at the state level on privacy grounds.

Additionally, Trump proposed introducing a regulatory framework for stablecoins.

While some on Wall Street may recognise that regulation is crucial for crypto's mainstream adoption, they might seek to balance Trump's "rip up all the rules" rhetoric with more pragmatic policy approaches.

Trump Calls Opponent Harris a Lunatic

Trump took a swipe at Vice President Kamala Harris, labelling her as a radical and emphasising her anti-crypto stance.

He dissed:

“The problem is that Kamala is worse than Joe is worse. She's a radical left lunatic, de-fund the police, all of the different things. And so far we're doing– she's got a little honeymoon going on right now. But when people hear about her, and she's against crypto, by the way, she's against it, very big. So I just want to let you know, you got to get out. You got to get out and vote.”

He warned that the regulatory hurdles faced by crypto companies under the Biden administration would persist under a potential Harris administration:

“It should be no surprise that these same totalitarians are hell bent on crushing crypto and obliterating, and that's what they want to do, and that's what they are stated they– Well, I mean, they're, they're right down. You have the SEC, you know what they're doing. Know what they're doing, obliterating Bitcoin. The reason could not be more clear, because Bitcoin stands for Freedom, sovereignty and independence from government coercion and control. The Biden Harris administration's repression of crypto and Bitcoin is wrong, and it's very bad for our country. It's really quite un-American.”

He emphasised to the attendees:

“If [the Democrats] win this election, every one of you will be gone. They will be vicious. They will be ruthless.”

Despite President Biden endorsing Harris as the Democratic nominee, she has not publicly stated her position on crypto assets.

According to Politico, pro-crypto Democrats are hoping for a policy reset following Biden's "crypto crackdown."

It stated:

“Trump has framed his crypto pitch as an attack on President Joe Biden, whose regulators have cracked down on the industry. Now with the campaign undergoing a big reset, crypto-friendly Democrats are hopeful that Harris will usher in a softer approach.”

Trump Took the Stage an Hour Late & Hardly Touched Crypto Initially

When Trump first took the stage at 3pm CDT, approximately an hour behind schedule, he barely mentioned cryptocurrency in his opening remarks.

Instead, he delved into a wide array of seemingly disconnected, non-crypto subjects: a recent attack on Israel, the political inclinations of country musician Billy Ray Cyrus' daughter, and the tragic death of firefighter Corey Comperatore, who was fatally struck by a stray bullet during an assassination attempt on Trump at a rally in Butler, Pennsylvania, two weeks prior.

In the initial minutes of his speech, Trump reeled off the names of about a dozen celebrities and politicians who had come to show their support at the conference, including internet personality Jake Paul and musician Kid Rock.

He expressed gratitude to the event's organisers and noted the presence of many legends in the room.

Trump also acknowledged several key figures in the crypto industry, such as Tyler and Cameron Winklevoss, founders of the Gemini crypto exchange, and Michael Saylor of MicroStrategy.

He briefly touched upon familiar industry themes, such as the significance of self-custodying one's cryptocurrency to uphold personal "freedom" and "privacy"—values that are considered fundamental to the broader bitcoin movement by its advocates.

Trump paid a special tribute to BTC Inc. CEO David Bailey, the principal organiser of the conference:

"David… whatever the hell you do, you did a hell of a job.”

However, in his latest address, Trump left no ambiguity regarding his stance on Bitcoin and the wider cryptocurrency sector as he gears up for the 2024 presidential election.

BTC Price on a Roller Coaster

In the hours preceding Trump's remarks at the Bitcoin 2024 Conference, the digital asset climbed above $69,000 on Saturday.

However, it subsequently dipped to as low as $66,700 before rebounding to over $68,000, as traders processed the content of the speech.

A significant amount of longs, amounting to nearly $24 million in bets on higher prices, were liquidated during the speech, potentially contributing to the price drop.

The muted reaction may be attributed to the fact that the news was already reflected in the price and, more importantly, because the "Trump trade" no longer appears as certain a bet as it did when Biden was Trump's presidential rival.

Bitcoin approached the $70,000 mark on 29 July, reaching a seven-week high despite falling just short of its all-time high of $73,757, which occurred on 14 March, by around 6%.

This level is the highest Bitcoin has traded since 13 June, when it hit $70,000 but encountered resistance and subsequently retreated.

Currently, BTC is trading at $69,583.80, marking a 3.24% increase within the last 24 hours, according to CoinMarketCap.

There is a possibility that Bitcoin could experience further upward momentum later this week, potentially triggering a bullish surge in altcoins as well.

Contrasting with the overall market sentiment, MicroStrategy founder Michael Saylor remains bullish on Bitcoin's long-term prospects.

He has shared his long-term prediction for the Bitcoin price, suggesting that its annual growth rate could decelerate from 55% to 20% by 2045.

According to Saylor, this trajectory could ultimately propel the value of Bitcoin to an astonishing $13 million per unit.