Latest Bitcoin and cryptocurrency news: Democratic US presidential candidate Robert F. Kennedy Jr. positively supports Bitcoin, while US President Joe Biden opposes a deal that would allegedly benefit cryptocurrency traders.
Below are all the details.
Important news for Bitcoin: Robert F. Kennedy Jr is on its side
Robert F. Kennedy Jr., the Democratic candidate for president of the United States, has strongly supported Bitcoin by stating at the 2023 Bitcoin Conference that he will ensure that the right to hold and use Bitcoin is inviolable.
This position gives a chance to potential future policies that encourage and protect the use and ownership of digital currencies.
In addition, Kennedy expressed immense admiration for the level of the speech at the conference, noting:
“We just heard one of the most amazing talks I’ve ever heard about Bitcoin at an event in my entire life, and I’ve been doing it for many years.”
His statement underscores the maturation of the cryptocurrency ecosystem and its growing significance in global financial and political conversations.
Moreover, his comments, along with the idea that Bitcoin could potentially challenge the dominance of the US dollar in the global economy, underscore the transformative potential of digital currencies.
Indeed, with greater acceptance of Bitcoin‘s decentralized nature and direct transaction capabilities, it seems increasingly possible for Bitcoin to disrupt the traditional monetary system.
US Senator Cynthia Lummis, who was also at the conference, echoed Kennedy’s sentiments about Bitcoin’s role in strengthening financial sovereignty, noting the following:
“Bitcoin empowers individuals their own sovereignty and to implement, use and secure their values as Americans.”
With such high-profile endorsements, the transformative potential of cryptocurrencies is being recognized at the highest levels of US politics.
This recognition could spur the creation of a more favorable regulatory environment for digital currencies.
As a Democratic presidential candidate and influential political figure, Kennedy’s supportive stance toward Bitcoin is an affirmation that digital currencies have permeated the highest levels of political discourse.
In conclusion, the next chapter in this evolving narrative promises significant implications for the world of finance and regulation.
Biden: “I don’t accept a deal for rich tax evaders and crypto traders”
On the other hand, US President Joe Biden has expressed opposition to a debt ceiling deal with Republican leaders that would allegedly benefit cryptocurrency traders.
Attending the G7 summit in Hiroshima, Japan, on 21 May, Biden called the terms proposed by Republicans “unacceptable” during a press conference.
“I will not agree to a deal that protects wealthy tax dodgers and cryptocurrency traders by putting food assistance at risk for nearly a hundred – excuse me – nearly 1 million Americans.”
The alleged protections for cryptocurrency traders relate to the collection of tax losses. According to the Washington Post, there is an ongoing discussion between the White House and Republican leaders about blocking the mechanism for cryptocurrency transactions.
In fact, collecting cryptocurrency tax losses is a strategy that investors use to reduce their overall tax liabilities. Consequently, it involves selling a cryptocurrency at a loss to offset capital gains from cryptocurrency profit.
To claim a loss, assets must be sold and the proceeds used to purchase a similar asset within 30 days before or after the sale. The mechanism is also available for stocks and other assets.
The US risks default as early as June
In addition to ending the collection of tax losses for cryptocurrencies, the White House has thrown Republicans a similar proposal that would prevent investors from deferring taxes on real estate swaps.
Both changes would add about $40 billion in tax revenue for the US government. Republicans reject the proposals, a source told the Post.
House Speaker Kevin McCarthy says the rising US debt is a “spending problem, not a revenue problem,” citing the Biden administration’s overspending during the pandemic.
Meanwhile, the White House blames the debt issue on previous administrations’ tax cuts, arguing that revenues were significantly affected by the tax cuts.
Republicans want to close the deficit with $4.8 trillion in spending cuts, which would directly affect federal agency budgets. If Congress fails to raise the debt ceiling, the US could go into default as early as 1 June.
Biden will reportedly speak with McCarthy on the phone during his flight from Hiroshima to Washington, DC. In place since 1917, the debt ceiling is the limit Congress has set on how much money the federal government can borrow to pay its bills.