If Donald Trump was US President, he would halt further financial regulation in the country to boost growth firstly.
In his economic speech in Detroit on Monday, the Republican nominee criticized the Obama administration’s “record-breaking pace of new regulations, tax increases, restrictions on private-energy production, and one-sided trade deals.” He stated that such policies have been detrimental to the former industrial heartland of the northern US.
But the most important point for financial sector – his freeze on regulation is crucial for the cryptocurrency businesses, albeit Trump has not mentioned fintech directly. The Bitcoin community is traditionally against Trump’s policies, like blocking remittances to Mexico.
But such attractive nature of non-regulated space for small businesses in regions like Detroit will likely become popular together with his announcement of a plan to reduce inheritance tax.
“Every policy that has failed Detroit has been fully supported by Hillary Clinton. The one common feature of every Hillary Clinton idea is that it punishes you from working and doing business in the United States,” he stated in his speech.
Financial regulation has become one of the problems in the US in recent years, with Bitcoin businesses in particular facing complex and often expensive procedures in order to be able to do business.
Moreover, different state laws cause that umbrella companies such as exchanges were forced to negotiate a patchwork legislative environment in order to be able to serve customers throughout the country. According to the Digital Chamber of Commerce, here’s a list of states that have only recently signed their own cryptocurrency-related legislation into law:
- Georgia: HB 811, an update to banking regulations;
- North Carolina: HB 289, North Carolina Money Transmission Act;
- New Hampshire: HB 356, Establishing a Commission to Study Cryptocurrency Regulation;
- New Mexico: HB 250, Uniform Money Services Act;
- South Carolina: H 4554, South Carolina Anti-Money Laundering Act;
As Trump added, regulators “need to hit the pause buttons on these regulations so our businesses can reinvest in the economy.”
Trump’s financial backers are constantly monitoring his rhetoric. A more free-ranging regulatory environment would provide windows of opportunity for profit, but whether this would translate into profit for the richer or poorer ends of the business spectrum remains to be seen.
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