Harris finalizes his campaign partner, what is his attitude towards Crypto?

Author: Sander Lutz, Decrypt

Compiled by: Alex Liu, Foresight News

This article was first published on August 6, 2024, at 15:57 Beijing time. As of now, Kamala Harris has chosen Minnesota Governor Tim Walz as her running mate.

Overview

• Kamala Harris's choice of running mate may hint at how she plans to govern if elected, and the main competitors for the position show varying degrees of support or caution regarding cryptocurrency.
• Some competitors, such as Josh Shapiro and Andy Beshear, have been actively involved in or supportive of state-level cryptocurrency-related activities, while others, like Roy Cooper, have taken a more cautious approach.
• The cryptocurrency positions of other major candidates, such as Gretchen Whitmer and Mark Kelly, are less clear, but they have political allies who support cryptocurrency legislation or otherwise indicate a potentially open attitude toward the industry.

Kamala Harris has improbably become the Democratic presidential nominee, overturning the script of how the November election would impact cryptocurrency policy. For months, former President Donald Trump seemed to be the candidate supporting cryptocurrency, while President Joe Biden stubbornly refused to embrace industry-related legislation pushed by both parties.

But now, everything has changed.

As billionaire and prominent Bitcoin advocate Mark Cuban told Decrypt, within 48 hours of launching her campaign, Harris's team reached out to him with multiple questions regarding cryptocurrency policy. Industry lobbying groups are cautiously optimistic about the potential for change, urging Harris to clearly outline her digital asset agenda during her presidency and to choose a running mate who supports cryptocurrency.

How will Harris's choice of vice president affect U.S. cryptocurrency policy? Reports indicate that her vice presidential pick will be announced this week. Here is a list of the top candidates for the position and their standings on blockchain technology.

Josh Shapiro

Pennsylvania Governor Josh Shapiro is currently considered Harris's top choice due to his popularity in one of the most critical swing states for 2024. While he has not publicly discussed cryptocurrency, Pennsylvania has become one of the hottest Bitcoin mining markets in the U.S. during his tenure.

To this end, Shapiro was even named a co-defendant earlier this year alongside a publicly traded Bitcoin mining company in a lawsuit filed by a nonprofit over the energy used by the crypto mining business that caused pollution.

Tim Walz

Minnesota Governor Tim Walz is a dark horse candidate for Harris's vice presidency, having seen a surge in national recognition in recent weeks, but he has never made any public statements on cryptocurrency. As a staunchly progressive governor, he may have a dual approach to blockchain technology.

On one hand, Walz positions himself as a pragmatist, seeking to balance strong union ties with the desire to create jobs and promote innovation. On the other hand, the governor is pushing his state to implement one of the most progressive energy policies in the country. Last year, he signed a bill requiring Minnesota to transition to 100% clean energy by 2040.

Thus, unlike other governors on the list, Walz may not be enthusiastic about energy-intensive cryptocurrency mining—depending on the source of the electricity used.

Roy Cooper

North Carolina Governor Roy Cooper is considered another contender for Harris's vice presidential pick, as he hails from a deep purple state that has voted for Trump twice. However, given his rare popularity in the state and his expected candidacy for the Democratic Senate seat in 2026, his elevation to running mate may be seen as an unnecessary risk.

Regarding cryptocurrency, Cooper made a clear statement earlier this month by vetoing a bill that would have prohibited North Carolina from pursuing a central bank digital currency (CBDC). The ban on CBDCs (or "digital dollars") has recently become a significant issue for Republicans, who view similar blockchain technologies in the hands of the state as a privacy threat.

When vetoing the bill, Cooper spoke about the potential utility of cryptocurrency, expressing a somewhat cautious yet flexible "wait-and-see" attitude.

"The federal level is working to ensure standards and safeguards are in place to protect consumers, investors, and businesses that may want to engage in digital asset transactions, and North Carolina should wait to see how they work before taking action," Cooper said at the time.

Gretchen Whitmer

Although Michigan Governor Gretchen Whitmer has publicly stated that she does not wish to run for vice president under Harris, she is reportedly still under consideration for the position.

Whitmer is known as a swing state firebrand, achieving significant success in unabashedly embracing progressive causes, but she has made few statements regarding cryptocurrency.

However, she is a product of Michigan politics, where Democrats in the Midwest have shown a greater willingness to commit to a regulatory framework for cryptocurrency than others.

For example, both Democratic senators from Michigan support legislation favorable to the crypto industry. Senator Gary Peters broke with Biden in May to repeal the SEC's ban on banks holding cryptocurrency, while Senator Debbie Stabenow has expressed interest in crafting digital asset regulatory legislation.

Congresswoman Elissa Slotkin is the leading Democratic candidate to succeed Stabenow when she retires in January, and she currently holds an "A" rating from the pro-industry nonprofit Stand With Crypto.

Andy Beshear

Kentucky Governor Andy Beshear fits the same mold as many other potential candidates on this list: a popular Democratic governor from a red-leaning state.

He is also one of the most outspoken politicians supporting cryptocurrency in the race for Harris's vice presidency. In 2021, Beshear signed two bills that included tax breaks and other incentives to attract Bitcoin miners to the state. Since then, Kentucky has become a hotbed for cryptocurrency mining.

As early as 2020, Beshear signed a bill establishing a task force to investigate potential use cases for blockchain technology at the state level.

Mark Kelly

Arizona Senator and former astronaut Mark Kelly won a key election in 2020, bringing a long-held Republican seat to the Democrats. Since then, he has established a voting record as one of the most right-leaning Democrats in the Senate.

He has also recently shown support for cryptocurrency. In May, Kelly was one of the few Democratic senators who broke with Biden and voted to repeal the SEC's ban on banks holding cryptocurrency.

Pete Buttigieg

Harris's main competitor in 2020, Pete Buttigieg, does not have a record indicating much knowledge of cryptocurrency policy: first serving as mayor of South Bend, Indiana, and then as Biden's Secretary of Transportation, this ambitious political prodigy has had little interaction with digital assets and has not made many statements on the topic.

However, during his brief time in the national spotlight, Mayor Pete has indicated that he is not an enemy of American tech and business interests. The former McKinsey consultant was warmly embraced by billionaire donors and Silicon Valley elites during the 2020 Democratic presidential primary, despite his lack of a national political record.

While his views on cryptocurrency remain a question mark, it is doubtful whether Buttigieg is prepared to become an Elizabeth Warren-level adversary of America's top crypto companies.

J. B. Pritzker

Illinois Governor J.B. Pritzker, a billionaire heir to the Hyatt Hotels fortune, is one of the most actively supportive Democrats of cryptocurrency and is rumored to be joining Harris's camp.

"The future of cryptocurrency is in Illinois," Pritzker stated in August 2021, long before many politicians took a stance on the subject.

However, since then, this Midwestern governor has largely ceased to make cryptocurrency a key component of his governing agenda while promoting Illinois as a competitive business-friendly environment and a hub for emerging technologies like quantum computing.

Vice President Harris has officially become the Democratic presidential nominee, and her VP choice is expected to be announced this week. How will the market react? Let’s wait and see.