By Alexandra Ulmer
SAN FRANCISCO (Reuters) – Republican presidential candidate Donald Trump presented himself as a champion for cryptocurrency and denounced Democrats’ efforts to regulate the sector at a fundraiser in San Francisco on Thursday, three sources present told Reuters.
Trump raised $12 million from the fundraiser, which was hosted by venture capitalists David Sacks and Chamath Palihapitiya at Sacks’ home in the upscale Pacific Heights neighborhood.
“He Said He Was Going to Become the Crypto President” Trevor Trainaa San Francisco-based technology executive and former Trump ambassador to Austria told Reuters.
The crypto industry is increasingly trying to influence US politicians as it faces heightened scrutiny from regulators, especially since bankruptcies at major crypto firms in 2022 spooked investors, exposed fraud and misconduct and left millions of investors out of their pockets.
Trump praised crypto as important and emphasized that he was very supportive of the sector, said Harmeet Dhillon, a Republican National Committee woman.
Dhillon said Trump, who is running to dethrone Democratic incumbent Joe Biden in the Nov. 5 election, has not provided details on his proposed crypto policy.
Biden signed an executive order in 2022 aimed at ensuring the responsible development of digital assets, leading to reports urging regulators such as the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission to issue guidelines and rules to address the risks in cryptocurrency. ecosystem.
The White House under Biden has also said it would like to work with Congress to develop a regulatory framework for cryptocurrencies.
In a statement to Reuters, White House spokesperson Robyn Patterson said the Biden administration had supported innovation in digital assets while seeking to protect consumers from “risks associated with new technologies.”
Although San Francisco is heavily liberal, a growing number of high-profile local venture capitalists and crypto investors have thrown their support behind Trump, with some citing what they deemed excessive regulation as reasons.
“President Trump has made it clear that the Biden-Gensler crusade against crypto will come to a halt within an hour of a second Trump administration,” said Jacob Helberg, an adviser to data analytics provider Palantir, referring to SEC Chairman Gary Gensler.
Executives from crypto exchange Coinbase, crypto investor twins Tyler and Cameron Winklevoss and other crypto leaders were in attendance Thursday, Dhillon added.
A spokesperson for Gemini, the company founded by the Winklevoss twins, did not immediately comment.
Sacks and Palihapitiya have spoken publicly about their investments in crypto, especially bitcoin.
The founder of the now bankrupt cryptocurrency exchange FTX, Sam Bankman-Fried, was found guilty of theft from customers last year. Prosecutors allege he used this money to donate more than $100 million to U.S. political campaigns.
(Reporting by Alexandra Ulmer; additional reporting by Hannah Lang; Editing by Rod Nickel and Deepa Babington)
