HashKey Group Chairman Xiao Feng has shown optimism over the restarting of the Chinese crypto market amid a Trump presidency in the US.
According to Xiao Feng, chairman of the HashKey Group, Trump’s backing for cryptocurrencies could pressure China to relaunch the digital asset market in the next two years.
The actions taken by Western nations to shut down Russia’s Swift system in 2022 might also encourage China to embrace the cryptocurrency sector more quickly.
Hashkey Chairman’s Statement Highlights Trump’s Influence of Crypto Markets
With several pro-crypto politicians running for office this year, it appears that the US elections were largely in the crypto community’s favor. Official data indicates that 14 pro-crypto senators and more than 240 pro-crypto house representatives were elected this time.
According to the South China Morning Post, the outcomes of these elections probably demonstrate the power of cryptocurrency voters in the US, who were closely examining the promises and policies before casting their ballots this time.
“It would definitely be a driving force for China to accept [cryptocurrencies] if the US Congress and the [incoming] president make crypto policies clear, constantly legislate, and promote the industry,” HashKey Group chairman and CEO Xiao Feng stated in an interview with the South China Morning Post last week.
If Washington decides to establish a well-secured crypto industry, Beijing will likely have to follow. This would just be like the 2022 decision to cut Russia off from the Swift financial messaging system, which was part of a set of sanctions meant to pressure Moscow to end its invasion of Ukraine, according to Xiao.
According to him, “China might need five or six years from now to accept [cryptocurrency businesses] without these events occurring.” “However, due to these factors, that period may now be reduced to two years.”
Why Is Trump Favored By The Crypto World?
Trump’s pledges to the cryptocurrency community have so far contributed to his success. His proposal of a strategy to use cryptocurrency to lower the nation’s rapidly increasing debt of $35 trillion and his promise to remove Gary Gensler from his position as SEC head have kept his popularity largely intact among the crypto community.
Gensler and the cryptocurrency sector have a long-standing love-hate relationship since the SEC has been so insistent about not recognizing digital assets. In addition, Trump has made it clear in his statements that he intends to make the US a hub for cryptocurrencies.
Additionally, the global crypto community is expecting better laws from their respective nations, which would follow Trump’s footsteps and an American model of crypto markets.