The impact of election results in India and the U.S. on global crypto policies is a topic of interest, as India’s crypto adoption is on the rise while the U.S. maintains its dominance in the market.
Changing the stance of political leaders in the U.S. on crypto
The evolving attitudes of political leaders in the U.S. towards cryptocurrency are worth noting. The ongoing elections in India and the upcoming elections in the U.S. could have significant implications for the crypto market, given the important roles these countries play in the global economy.
India, with a population of over 1.4 billion people, has emerged as a major hub for crypto. As of 2023, India boasts 93.5 million crypto owners, representing 6.55% of its population. On the other hand, the U.S., with nearly 340 million people, has the largest crypto market by ownership percentage, with 15.56% of its population holding digital assets.
In the U.S., more than 15% of American crypto owners own over $10,000 in crypto assets. This diverse group includes individuals from various political affiliations and demographics, making them a potentially influential voter bloc in the 2024 elections.
In contrast, India’s upcoming general election in 2024 is not expected to bring immediate changes to crypto policy. Prime Minister Narendra Modi, seeking a third term, is likely to maintain the current restrictive stance on crypto, including the 1% tax deducted at source on transactions.
India’s influence on the crypto world
Crypto’s significance as an election issue in India remains minimal, with most voters finding Web3 and related technologies complex and unfamiliar. The country’s steep tax on crypto transactions is unlikely to sway the upcoming election, as more pressing issues such as unemployment and minority rights take precedence in political discussions.
While major parties in India have not explicitly mentioned cryptocurrency in their manifestos, they indirectly address crypto-related topics in their policy proposals. Regardless of the election outcome, India’s Web3 policies are expected to remain largely unchanged in the near future.
How U.S. election results could influence crypto regulations
The outcome of the U.S. elections could greatly impact cryptocurrency regulations, depending on whether Donald Trump or Joe Biden wins. Trump’s support for the industry, as evidenced by his acceptance of crypto donations, contrasts with Biden’s more cautious approach. The approval of a spot Ether ETF by the SEC under Biden’s administration signals a potential softening of the government’s stance on crypto.
Despite these differences, the U.S. is likely to maintain its influence on international crypto regulations. The U.S. House of Representatives’ “Financial Innovation and Technology for the 21st Century Act” reflects bipartisan support for technological innovation in the digital assets space.
In conclusion, the election outcomes in India and the U.S. have the potential to shape global crypto policies. Whether it’s Trump or Biden, their decisions will have ripple effects worldwide, with India closely observing the developments that could pave the way for a new era in global crypto regulation.