Biden campaign ramps up crypto industry outreach in surprising tone 'shift'

Quick Take

President Joe Biden’s re-election campaign has begun reaching out to crypto industry players over the past two weeks for guidance on “crypto community and policy,” sources told The Block.
Sources told The Block they noticed a significant “shift” in tone from the Biden administration and campaign toward crypto, with a new willingness to understand digital assets and their communities.
The new outreach efforts come shortly after the Biden administration faced backlash for signaling it would veto the repeal of an alleged anti-crypto legislative measure.

President Joe Biden’s re-election campaign has begun reaching out to cryptocurrency industry players, seeking guidance on "crypto community and crypto policy moving forward," sources with direct knowledge of the matter told The Block. The outreach marks a significant "shift" from Biden's previous arms-length dealings with the industry, according to several sources, who spoke on the condition of anonymity, citing the sensitivity of the discussions, which are ongoing.

The engagement effort, which started about two weeks ago, comes as Biden's camp increasingly recognizes the impact crypto-related issues could have on a presidential race that is likely to be close, sources told The Block. As part of its outreach, the re-election team has called several crypto experts, including some industry players Biden rebuffed on previous occasions, one source said.

The Biden campaign did not immediately respond to The Block’s request for comment outside of normal business hours.

The campaign's newfound engagement with digital assets experts comes shortly after crypto advocates opposed the Biden administration’s plan to veto the repeal of SAB 121, a controversial crypto legislative measure criticized for potentially discouraging financial institutions from providing crypto asset custody services.

The change in tone also follows the Trump campaign’s May 21 announcement that it would accept cryptocurrency donations, along with former President Donald Trump’s recent pro-crypto and anti-CBDC (Central Bank Digital Currency) remarks at the 2024 Libertarian national convention.

That's in stark contrast to Trump's stance as recently as 2021 when he called cryptocurrencies "a very dangerous thing." Like President Biden's campaign, former President Trump also had a team that seems to have moved the presumptive GOP nominee towards a more positive stance on digital assets.

“They have very smart and capable people advising on that front, and you’ve seen some of the results of that and will see more in the coming months,” said a source within Trump’s inner circle with ties to the crypto industry.

Sources told The Block that the Biden campaign’s overtures have been well-received by many in the crypto sector. However, one source noted that some industry players remain skeptical, viewing the outreach as "too little, too late."

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