Coinbase: Cryptocurrency Becomes a "Purple Issue" for Both Parties in the U.S., Promoting Mainstream Adoption

Senior executive Shan Aggarwal of the US exchange Coinbase recently interviewed, mentioning that with bipartisan support for cryptocurrency in the United States, it has also promoted cooperation and communication between Coinbase and traditional financial institutions. He also stated that as the cryptocurrency issue becomes more bipartisan, support for digital assets and Web3 technology is increasing, showing a trend towards "purple issues." This trend has also driven the participation of traditional financial institutions, advancement of legislation, increased lobbying funds, and accelerated mainstream adoption of cryptocurrencies.

Cryptocurrency Transcends Parties, Becomes a "Purple Issue"

Aggarwal mentioned that in the past six to nine months, the issue of cryptocurrency in the United States has transcended party lines. Both the Democratic and Republican parties have shown increasing support for digital assets and Web3 technology, indicating a trend towards a "purple issue."

He pointed out that with this bipartisan trend, it has also facilitated collaboration between Coinbase and traditional financial institutions, potentially bringing more traditional finance professionals into Web3 and gradually reducing the technical complexity and barriers to entry, thereby promoting the widespread adoption of cryptocurrencies.

Note: "Purple issue" refers to a common supported issue in the U.S. political spectrum, where blue represents the Democratic Party, red represents the Republican Party, and the combination of the two colors forming purple symbolizes jointly supported issues.

Involvement of Traditional Finance Expected to Address Deposit Pain Points

Aggarwal stated that currently, "deposits" remain a significant pain point for users entering Web3. Many people want to enter the blockchain space but find the process of converting cash or traditional currencies into cryptocurrencies cumbersome. If traditional institutions can enter the cryptocurrency market and help ordinary users solve these technical issues, it will make it easier for the general public to access cryptocurrencies and promote the mainstream adoption of digital assets.

Bipartisan Efforts to Advance Legislation, Increase Political Contribution Sources

Recently, both parties in the United States have collaborated to advance several bills, including the "21st Century Financial Innovation and Technology Act" FIT21, which has garnered support from 71 Democratic members, including former House Speaker Pelosi. In May of this year, a dozen Democratic and Republican members jointly vetoed the SEC policy SAB121, which was unfavorable to cryptocurrencies. Although President Biden ultimately retained SAB121, it is evident that bipartisan support for cryptocurrencies is growing stronger, further driving the development of the cryptocurrency sector.

Regarding political contributions from interest groups, major supporters such as Coinbase, Ripple, and Gemini founders have funded up to $108 million through political action committees (PACs) to cryptocurrency lobbying organization Fairshake. These funds are distributed to candidates from both parties, enabling cryptocurrencies to have significant influence in political lobbying and solidifying its important position as a "purple issue."

Is money buying seats? Cryptocurrency companies contributed over 48% of political donations this year, with over 80% of candidates winning primary elections.

The U.S. House of Representatives failed to overturn Biden's veto on SAB121, while the SEC had long opened a backdoor for banks?