Will Bitcoin emerge as a winner in the United States following the election of Donald Trump as the 45th President of the United States? A significant number of US residents are not happy with the outcome of the recent elections which has created an uncertainty in the market, in turn, reducing the confidence among traders and investors. However, Bitcoin has emerged as a winner in this scenario.
Once reports of Trump’s win hit the media, Bitcoin saw a sudden surge in its prices. The positive effect of political scenario on Bitcoin was mainly due to the absence of correlation between the digital currency and conventional financial assets. In an interview with one of the leading business news and analysis portals, Christopher Burniske – the Blockchain Products Lead at ARK Invest had only positive things to say about the digital currency.
According to Christopher’s view, Trump has to apply his “for the people” message used during the presidential campaign to the digital currency sector as well. As Bitcoin is also designed for the people, he can encourage the cryptocurrency industry to come up with new innovations across multiple sectors.
Also, if Donald Trump puts his capital control plans into practice, then there is also a possibility of people turning towards Bitcoin, similar to the situation in China. However, with markets eventually stabilizing, the digital currency will continue to be a safe haven alternative asset that can sustain through adverse market conditions.
He also compares the digital currency’s performance against gold, which has not fared as expected with the upcoming transition.
Donald Trump, being an unconventional candidate at the moment may turn out to be good for the cryptocurrency ecosystem. Even though there is no certainty about what his policies towards digital currencies will be, it is time for the cryptocurrency industry to lobby for favorable regulations during his tenure. It is not just the digital currency groups that have their hopes up, various citizen groups have already started appealing to Trump to offer a presidential pardon to Julian Assange, the person behind well-known whistle-blower website WikiLeaks.
Currently all we can do is hope for Donald Trump’s presidency to turn out to be the golden era for cryptocurrencies.
Ref: Bloomberg | Image: Cosmopolitan