The Biden campaign is reportedly in discussions with cryptocurrency industry leaders to potentially accept crypto donations through Coinbase Commerce.
What Happened: This move aligns with a broader strategy to engage with crypto-focused voters ahead of a tightly contested election.
Coinbase Commerce, a service enabling merchants to accept various cryptocurrencies, is already facilitating digital currency contributions for Donald Trump's campaign, which started accepting such donations last month.
These discussions represent President Biden's latest effort to appeal to the crypto community.
“They're paying attention to issues around crypto and are trying to find quick wins to show that they’re supportive of the industry,” The Block reported, quoting a source involved in the discussions. “[They want] to show that they’re not the enemy.”
The Biden campaign’s engagement with the crypto sector has intensified following Trump's pro-crypto stance, which gained significant attention.
This shift is partly driven by the need to counter backlash from Biden's decision to block a bipartisan effort to repeal SAB 121, a controversial regulation that crypto advocates argue hinders industry growth in the U.S.
"People in [Biden's] outer inner circle are now specifically telling the Biden team, ‘if you’re quiet on this crypto thing and you don’t get up to speed, you could lose the election,'" a source close to the matter commented.
However, these discussions are still in the exploratory phase.
The interest in crypto donations is also fueled by the substantial funds being mobilized by pro-crypto donors.
Crypto-backed super PACs have amassed a $100 million war chest, according to consumer rights advocacy group Public Citizen.
The distribution of these funds could significantly influence the election, as financial support often correlates with voter support.
“People are looking for money… and [they're] looking for every vote,” another source added.
Also Read: MicroStrategy To Raise $500M To Boost Bitcoin Holdings
Why It Matters: Not everyone in the crypto community is enthusiastic about Biden's newfound interest.
Nic Carter, a general partner at Castle Island Ventures, criticized the administration’s past actions against the crypto industry, listing several grievances.
He questioned the sincerity of Biden's campaign in seeking crypto donations given this history.
“Under Biden, the admin bullied the banks into dropping crypto clients, engaged in lawfare against every major exchange and token project, and harassed bitcoin miners,” Carter said.
He further criticized the administration for making DeFi and participation in DAOs legally risky, among other points.
Echoing this sentiment, Ethereum ETH/USD educator Anthony Sassano expressed disbelief at Biden's approach.
“Biden wants to accept crypto donations yet his SEC buddies are suing the biggest U.S based crypto companies (Coinbase, Kraken, Uniswap Labs),” he tweeted. “Clown world.”
As the campaign progresses, the impact of these discussions on the election remains to be seen.
What’s Next: The broader implications of integrating cryptocurrencies into political fundraising will be a key topic at the upcoming Benzinga Future of Digital Assets event on Nov. 19.
Read Next: Elon Musk’s Decision To Hide Likes On X: ‘Catastrophic For Crypto,’ Says Solana VC
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