The US crypto industry is engaged in an intense battle with the White House, with tensions reaching boiling point amid the Biden administration’s continued push for burdensome regulations and crackdowns on digital assets. According to Charles Hoskinson, founder of Cardano, this anti-crypto stance could cost US President Joe Biden another term.

In a scathing rebuke, Hoskinson accused the administration of a “systematic effort to harm the crypto industry,” citing numerous political meetings, private dinners and open letters in which the community tried in vain to foster understanding. Despite these attempts at involvement, he says regulators remain steadfast in their campaign against the sector.

“53 million Americans, regardless of their politics and preferences, are portrayed as soft criminals,” Hoskinson laments, warning that this hostile environment has already landed some of his industry colleagues, including former Binance CEO Changpeng Zhao, in prison. .

The Elizabeth Warren Factor

Hoskinson singled out Sen. Elizabeth Warren as the driving force behind the administration’s anti-cryptography agenda, even going so far as to suggest a secret pact between her and Biden.

The Cardano founder says Warren, known for her sturdy opposition to digital assets, has been able to expand her influence over the Treasury Department by carefully selecting like-minded individuals who share her distaste for the industry.

This perceived alliance, Hoskinson argues, has led to an administration that is heavily anti-cryptocurrency, effectively labeling a significant portion of the population as “criminals.” He sees this as a devastating blow not only to the industry but to the entire democratic process.

Krypto as “Kingmaker”

Amid his frustration, Hoskinson offers a tantalizing prediction: The crypto industry will be “king” in the next U.S. election. He claims that the current administration’s anti-crypto stance is based on the belief that its actions will have no political consequences. But Hoskinson is confident that the voting public will prove him wrong.

Hoskinson declares, highlighting the key role the cryptocurrency industry can play in shaping the political landscape:

“If this president loses his job and cryptocurrency decides, no Democrat running in 2028 will be against cryptocurrency.”

Cardano’s founder sees a future in which the next generation of members of Congress, senators and presidents are “crypto-native,” paving the way for a more inclusive and progressive regulatory environment. He believes the industry’s exponential growth and growing influence will make it a force to be reckoned with in the political arena.

How does this affect the price of cryptocurrencies

Rising tensions between the Biden administration and the crypto industry have had a direct impact on the broader digital asset market. Investor confidence has been shaken, leading to significant price volatility and fluctuations in major markets cryptocurrencies.

In the wake of repression and increased political rhetoric Bitcoin and Ethereum have seen a pointed decline, with prices falling by more than 20% in the last month alone.

Smaller altcoins have performed even worse as uncertainty around the regulatory environment has led many investors to avoid riskier assets.

Industry experts warn that this turbulence could continue until a clearer path forward emerges, either through a change in political leadership or a softening of the administration’s stance on cryptocurrencies.

Featured image from Sky News, chart from TradingView