Donald Trump Secures U.S. Election Heralding New Dawn For Solana

Will Trump’s crypto-friendly administration reshape the financial landscape in the U.S.?

Published: Nov 6, 2024 at 09:36
Edited: Nov 6, 2024 at 10:36

Republican candidate Donald Trump has reclaimed the U.S. Presidency from the Biden-Harris Administration, signaling what many hope will be the dawn of a bright future for the digital asset industry.

Demonstrating a commanding win over the Harris-led Democrats, Trump will be sworn back into the Oval Office as the 47th President of the United States in January 2025.

Pro-crypto promises have been at the heart of Donald Trump’s 2024 campaign, but what changes can the crypto community expect now that the ‘Crypto President’ is back in charge and what does this mean for Solana?

Trump’s Position on Crypto

Despite championing cryptocurrency throughout 2024, Donald Trump hasn’t always been on board. in 2021, Trump expressed a disparaging view against Bitcoin, telling Fox Business that the world’s first cryptocurrency “seemed like a scam”.

Fortunately for crypto fans, Trump has since changed his tune. The U.S. President is now an outspoken Bitcoin bull. Beyond his pro-Bitcoin stance, Trump has also been associated with World Liberty Financial, a DeFi protocol, and several collections of Donald Trump NFTs.

Donald Trump’s new love of Bitcoin earned him a keynote speaker position at the Nashville Bitcoin Conference, one of the industry’s biggest Bitcoin events. There, the U.S. President pledged to make the United States “the crypto capital of the world”.

Additionally, the ‘Crypto President’ wants “all the remaining Bitcoin to be made in the U.S.A.” and has promised to end the Biden-Harris Administration’s “War on Crypto”.

With so many lofty promises, what can crypto enthusiasts hope to see over the next four years:

A Reformed SEC - Trump has been critical of the U.S. SEC’s conduct under the Biden-Harris Administration. The U.S. President is expected to replace SEC Chair Gary Gensler with a more crypto-friendly appointment, which should lead to an easing of the regulations that have suffocated blockchain businesses in the U.S.
Strategic Bitcoin Reserve - Trump also teased the creation of a Strategic Bitcoin Reserve, allocating all seized Bitcoin to a government-owned reserve to support the nation’s financial status.
New Energy Policies - President Trump has also promised to implement a drastic overhaul of energy policies in the United States. Trump aims to move away from renewable energy sources in favor of fossil fuels, potentially making U.S.-based Bitcoin miners more competitive.

In the days leading up to the historic election, Trump took to 𝕏 to remind voters that his Adminstration “will end Kamala’s war on crypto”. The newly-reelected President signed off his post calling to free Ross Ulbricht, founder of darkweb marketplace Silk Road.

What Does This Mean for Solana?

While most of Trump’s promises and policies are focused on Bitcoin, Solana and the wider industry are expected to be severely impacted by knock-on effects. Bitcoin’s success heralds good fortune for the rest of the industry, both in terms of asset price and ecosystem growth.

Lenient, crypto-friendly regulations in the United States will help facilitate the growth of crypto businesses in what is still the biggest financial powerhouse in the world. Trump’s return to power is expected to signal growing confidence in emerging technology markets, resulting in bullish momentum for Solana and other crypto assets.

Most importantly, Trump’s Presidency is believed to be favorable for Solana ETF approvals. Industry experts like Bloomberg Analysts James Seyffert and Eric Balchucas have both theorized that the approval of spot Solana ETFs hinged on the result of the election.

With Trump back in the driver’s seat, the Solana community eagerly awaits further details surrounding how his administration will reassess the approval process for crypto assets.

Markets have reacted positively towards Trump’s victory. As Trump's victory began to look more likely, Bitcoin rocketed to a new all-time high. Meanwhile, $SOL flipped $BNB in market capitalization, surging by over 16% in 24 hours to currently trade hands at $184.

Trump's triumph is seen as a victory for the crypto industry, with the 'Crypto President' expected to ease the Biden-Harris Administration's strict regulatory landscape. With Trump back in control, builders, innovators, and market participants in the U.S. bear an optimistic outlook for the future of the crypto space.