The crypto industry spent $240 million to "buy out" Congress.
Written by: Gyro Finance
The Trump effect continues, and Bitcoin hits a new high.
Less than a week after the election results were announced, even though he has not yet been sworn in and the House of Representatives has not yet decided the winner, President-elect Trump has already had an all-round impact on the crypto space. In recent days, the crypto market has continued to rise, and BTC has accumulated strength to break through the $81,000 mark after breaking through the previous high on the day of the election, leaving a beautiful positive line on the K-line chart.
It is clear that Trump's appearance has greatly boosted the sentiment of the crypto market, and all of this is naturally inseparable from the verbal checks promised by politicians. However, judging from the data, the fulfillment rate of the presidents during their terms does not seem optimistic.
It is unclear whether crypto regulation will be as the president said, but what is certain is that the crypto industry, which has invested $240 million, has officially come to the center of the political stage from the obscure behind the scenes.
After the US election, the industry that has held its head high the most, apart from local fossil energy, is the crypto industry.
Affected by the Trump effect and the subsequent interest rate cuts, the crypto market has seen an astonishing rise, with Bitcoin bearing the brunt. In just one week, it has risen from $67,000 to over $81,000, reaching a high of $81,500 this morning, with a 7-day increase of 17.79%. Mainstream currencies have generally risen, and the long-dormant Ethereum has also reached $3,200, and the market value of SOL has once exceeded $100 billion. MEME is not far behind, and is happy to get political MEME. DOGE, represented by MEME, has seen a gratifying rise. In just 24 hours today, it has risen by more than 33% to $0.292, with a market value of $42.3 billion, even surpassing the stablecoin USDC to become the sixth largest cryptocurrency by market value.
With such drastic fluctuations, liquidation is naturally the norm. According to Coinglass data, as of 14:54, the number of liquidations in the 24-hour crypto market reached 216,612, with a total liquidation amount of 650 million. Both long and short positions were liquidated, with long positions liquidated at 365 million US dollars and short positions liquidated at 285 million US dollars.
Overall, despite the increased volatility, the crypto market is clearly on the mend. A typical example is that Wall Street institutions are continuing to bet on Bitcoin. Starting on November 6, Bitcoin ETFs saw significant net inflows. On November 7, the single-day inflow reached a record high of US$1.359 billion. BlackRock's IBIT has total assets under management of US$17.243 billion so far, and its asset management scale has reached US$17.443 billion. Its total assets exceed IAU, the second largest gold fund in the U.S. stock market. It once again has a strong interest in the "digital gold" of Bitcoin. The title was confirmed.
Before Trump was elected, many market analysts predicted that the market would fall after the election due to selling, but in terms of actual effects, the positive effects of the crypto market are still strong and sustainable. This strong sustainability comes from a more relaxed macro environment. Although Wall Street predicts that interest rate cuts will slow down next year, interest rates will still be cut as scheduled in November. On the other hand, it comes from the industry's more positive expectations for Trump.
Looking back at Trump’s previous verbal promises, there are only two categories: one is the regulatory side, and the other is the price side. In his speech at the Bitcoin Conference, Trump clearly stated that the market value of Bitcoin will increase day by day since its birth, and will soon surpass silver and gold in the future. He also emphasized that after being elected, the United States will reserve Bitcoin as a strategic asset and will not sell any Bitcoin. He hopes that Bitcoin will be mined, minted and manufactured in the United States, rather than anywhere else, and will ensure that the United States will become the world's encryption center and Bitcoin superpower.
From the regulatory side, Trump has given more room for imagination. Trump said that there will never be a central bank digital currency CBDC. On the first day of his presidency, he will fire the well-known anti-crypto person, the current SEC Chairman Gray Gensler, and appoint a new chairman. At the same time, he will immediately appoint a Bitcoin and Cryptocurrency Presidential Advisory Committee to "design transparent regulatory guidance for the entire industry, which will be completed within 100 days. From now on, these rules will be made by people who love your industry, not those who hate your industry, who want to make the rules clear, simple, direct and fair, and who want to see your industry thrive rather than wither."
In addition to verbal promises, Trump also set an example by taking action. He is not only the first president to accept cryptocurrency donations, but his family has also started a DeFi project to operate. He has firmly established the title of "America's first Bitcoin president" and has repeatedly mentioned it in his campaign speeches. In addition to Trump, Vice President Vance and Trump's top aide Musk are also absolute supporters of encryption. SpaceX and Tesla both hold a considerable amount of Bitcoin.
What is even more exciting is that the Republican Party won a landslide victory in this election. After winning the Senate, it is very likely to win the House of Representatives. By then, whether it is legislation, personnel appointments, or financial support, Trump will have stronger party support instead of being constrained by others as in 2016.
It can be seen that the crypto industry seems to be about to usher in a new regulatory environment, and industry insiders are also excited about this. Today, the policy director of a16z wrote an article saying that building on the bipartisan cooperation of the previous Congress, it will advocate a clear regulatory framework to promote and support innovation and decentralization, bring higher regulatory clarity, and the industry will feel capable of exploring all breakthrough products and services supported by blockchain, especially in token issuance and community building. Many plans that were previously shelved due to concerns about regulation may now finally be restarted.
From the perspective of specific regulations, a research report by blockchain infrastructure company Blockdaemon pointed out that two key bills will be promoted. One is that the 21st Century Financial Innovation and Technology Act is expected to be passed by the Senate in 2025 and eventually signed into law; the other is that the SAB 121 repeal proposal that was previously vetoed by Biden may take effect.
Paul Grewal, chief legal officer of cryptocurrency giant Coinbase, also bluntly stated that cryptocurrency has reached a watershed, and its CEO bluntly stated that U.S. congressmen will be very friendly to the crypto market next year and "will be the most supportive of cryptocurrency in history."
This is true. Although the presidential candidate is the key, the U.S. Congress under the "separation of powers" model is the most important part in the actual formulation and implementation of laws and regulations. In this context, the crypto industry has expanded its strategic vision. In addition to supporting the president, it also focuses on supporting more crypto-friendly people in Congress.
According to data from the Stand With Crypto website initiated by Coinbase, as of November 11, a total of 268 candidates who support cryptocurrency have won seats in the House of Representatives in this election, while only 122 members of the House of Representatives who oppose cryptocurrency have done so. At the same time, the new Senate is also more inclined to support cryptocurrency, with 19 supporters and 12 opponents.
And all this is the result of real money. Fairshake, a cryptocurrency super PAC funded by companies such as Coinbase, Ripple and Andreessen Horowitz, raised $245 million, becoming the largest single-period super PAC in US history, surpassing traditional corporate donors and now second only to the fossil fuel industry in political spending since the 2010 Supreme Court ruling on corporate political donations.
The Action Committee not only raises a lot of money, but also has a lot of experience in selecting people. It follows the principle of betting on both sides and focuses on funding the Republican Party's "defending American jobs" and supporting the Democratic Party's "protecting progress." It is reported that almost all of the 48 candidates supported by Crypto PAC won the election, with a winning rate of 98%, setting a record. In the key election seats, Crypto spent a lot of money, spending $40 million to successfully help Ohio auto dealer and blockchain entrepreneur, Republican Bernie Moreno, turn the tide against the wind after a sharp 6% lag, defeating Sherrod Brown, the well-known chairman of the Senate Banking Committee, a strong critic of cryptocurrency, and Ohio Democratic Senator, and further helped the Republican Party lock in the Senate victory. 40 million has also become the most money invested by a group organization in Ohio's election so far.
In addition to this election, Fairshake has even thought ahead to the midterm elections two years from now. So far, it has accumulated more than 78 million US dollars for the 2026 midterm elections, doing its utmost to eliminate the possible midterm decentralization effect on the people.
The expectation of weak regulation and the return of a small government are driving the growth of the industry, and altcoins are also gaining new life. Even many industry insiders are once again looking forward to the mainstreaming of altcoins.
But back to reality, in addition to relatively fast personnel appointments and dismissals, as long as it involves legislation and strategic direction, the chain involved is quite extensive, and the president's personal power cannot be exaggerated. In a federal country with a high degree of checks and balances among the three powers, the actual power of the president is far less than that of a centralized country. In the United States, where ideology is highly divided, the greater the political rift, the stronger the constraints of the opposition party on the ruling party. Voters will also take advantage of this and usually will not let one party dominate. Even if it wins temporarily, it will be checked and balanced in the midterm elections. This is why Fairshake has made a first-hand layout. In the election, in order to obtain more votes, the president will tend to make big promises or make more radical promises, but will return to reality after taking office.
According to data from the think tank, the presidents generally have a low rate of fulfilling their promises during their terms. During Biden's term, the overall rate of promise fulfillment was only 28%. Among them, the fulfillment rate of 19 medical issues was only 42%; only 2 of the 18 economic issues were fulfilled, and 10 were completely unfulfilled, with a fulfillment rate of only 11%; the judicial fulfillment rate was 20%; the national security fulfillment rate was 21%; and the administrative improvement fulfillment rate was 33%. Among the remaining six or fewer issues, immigration 50%, education 0%, climate and environment 75%, and trade 33%.
During Trump's first term, the overall fulfillment rate of his promises was 31%. Among them, all five trade issues were fulfilled, with a fulfillment rate of 100%. Apart from this, the fulfillment rates of other major issues were low, with 10 of the 13 economic issues completely unfulfilled, with a fulfillment rate of only 7.6%; immigration fulfillment rate 27%; administrative improvement fulfillment rate 20%. Among the remaining six or fewer issues, health care 10%, justice 50%, education 25%, national security 66%, climate and environment 33%.
Therefore, the US president should be more concerned about his actions rather than his words, and pay attention to Trump's speech and subsequent actions after he officially took office on January 20. On the other hand, the market does not need to be overly pessimistic. Compared with the extremely heretical Trump in 2016, the Republican Party's victory after this election and its strong prestige within the party will greatly increase the compliance rate of the term. What is more noteworthy is that it is a foregone conclusion that cryptocurrency "buys" Congress. Coupled with a large number of voters, whether congressmen or presidents, they will not let go of this highly politicized industry.
From now on, the crypto industry may truly come to the forefront of history.
