Mark Cuban: Trump's Re-Election Won't Directly Impact Bitcoin's Price

Author: Murtuza Merchant | July 17, 2024 01:41pm

Billionaire entrepreneur and investor Mark Cuban on Wednesday shared his controversial perspective on the potential impact of former President Donald Trump‘s re-election on Bitcoin (CRYPTO: BTC) and the broader cryptocurrency market.

What Happened: Contrary to popular belief, Cuban argues that Trump’s return to office would not directly influence Bitcoin’s price.

Cuban suggests that while Trump’s presidency might make it easier to operate crypto businesses due to anticipated changes at the Securities and Exchange Commission (SEC), this alone won’t be the primary driver of Bitcoin’s value.

Instead, he points to broader economic factors as the real catalysts for potential price appreciation.

The “Shark Tank” star identifies two key elements that could propel Bitcoin’s price under a second Trump administration:

1. Lower tax rates and tariffs, which Cuban believes could lead to inflationary pressures based on historical trends.
2. Global uncertainty regarding the United States’ geopolitical role, potentially impacting the U.S. dollar’s status as the world’s reserve currency.

Also Read: Donald Trump Comments On Crypto Pivot: ‘If We Don’t Do It, China Will’

Cuban posits that these factors could create an ideal environment for Bitcoin price acceleration.

He goes further to speculate on the potential for Bitcoin to become a global “safe haven” asset, particularly if geopolitical uncertainties escalate and the dollar’s dominance as a reserve currency wanes.

“Remember, the market for BTC is global. And the supply has a final limit of 21m BTC, with unlimited fractionalization,” Cuban stated, highlighting Bitcoin’s scarcity as a key factor in its potential rise as a global currency.

While Cuban acknowledges that his scenario is speculative, he emphasizes that the possibility is “somewhere above zero” for Bitcoin to evolve into the global currency envisioned by its most ardent supporters, especially in countries facing hyperinflation.

This bold prediction from a high-profile investor like Cuban adds an intriguing dimension to the ongoing discussions about cryptocurrency’s role in the global financial system.

As the crypto industry continues to evolve rapidly, these topics are likely to be at the forefront of Benzinga’s Future of Digital Assets conference on Nov. 19.

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Image: Shutterstock

Posted In: $BTC