Crypto Ignored in Debate

The first 2024 US Presidential debate ended without a single mention of cryptocurrencies, causing a significant market impact. Despite strong backing from crypto political action committees (PACs), the lack of discussion sent shockwaves through the market, leading to a steep decline in politically themed (PolitiFi) meme coins.

The debate in Atlanta, Georgia, featured President Joe Biden and former President Donald Trump, moderated by CNN's Jake Tapper and Dana Bash. The 90-minute discussion avoided technology and crypto topics, disappointing the crypto community, which hoped for acknowledgment from Trump, known for his crypto-friendly stance.

After the debate, the total market capitalization of PolitiFi meme coins dropped by 6.7%. Individual coins fell sharply: MAGA (TRUMP) by 14.1%, MAGA Hat (MAGA) by 14.6%, Doland Tremp (TREMP) by 15.3%, and Jeo Boden (BODEN) by 32.5%. Coinbase, a leading crypto exchange, expressed disappointment, stating, "With 52 million Americans and 19% of Georgians owning crypto, it’s time to include it in the conversation."

In response, Coinbase is focusing on its PAC, Stand With Crypto, with over $87 million in donations. Additionally, it supports the Fairshake Super PAC, contributing $25 million in June. Collectively, these PACs have raised over $177 million this election cycle, with $70 million spent supporting pro-crypto candidates.

Despite the debate's crypto silence, Trump continues to support the crypto community, potentially influencing his political prospects. According to Polymarket, Trump’s odds of winning the 2024 election have increased to 63%. Recently, he met with executives from crypto miners, emphasizing Bitcoin mining’s role in stabilizing the energy grid and declared, "We want all the remaining Bitcoin to be made in the USA."

At a Libertarian Party convention, Trump promised to commute Ross Ulbricht’s sentence and announced his campaign’s acceptance of crypto donations. A fundraiser with figures like the Winklevoss twins raised $12 million for his campaign against Joe Biden.

The debate’s crypto silence impacted the PolitiFi meme coin market, showing the market’s sensitivity to political discourse. The crypto community hopes future debates will address the crypto sector’s growing importance. As the 2024 election nears, crypto stakeholders will likely intensify lobbying efforts to ensure their voices are heard in the political arena, shaping future policies.