Ethereum co-founder Vitalik Buterin and Cardano founder Charles Hoskinson made their views on “pro-crypto” politicians known on Wednesday. First, Buterin published his essay titled “Against Choosing Your Political Loyalty Based on Who’s ‘Pro-Crypto,’” in which he expressed his concerns about the growing politicization of crypto.
This trend has gained popularity as former President Donald Trump, a leading presidential candidate in the upcoming elections, has become ‘pro-crypto’ and has received notable endorsements and contributions from major industry players such as Jesse Powell (co-founder of Kraken) and the Winklevoss twins (founders of Gemini).
Buterin’s Argument About Political Loyalties and Crypto
In his essay Published on July 17, Buterin warns against the reductionist approach of supporting political candidates solely on the basis of their crypto policies. He elaborates on the potential consequences of this strategy, emphasizing the multidimensional nature of politics and its broader implications.
Buterin argues, “The political game is much more complicated than just ‘who will win the next election,’ and there are many levers that influence your words and actions.” He raises concerns that by prioritizing cryptocurrency policy above all else, the community may inadvertently foster a political culture where pro-crypto rhetoric alone is enough to garner support, while other crucial policy areas are neglected.
Buterin argues that such a narrow focus can lead politicians to believe that their support for crypto alone is enough to secure electoral success. This can lead them to overlook important issues such as privacy rights, governance ethics, and international cooperation.
Furthermore, the Ethereum founder criticizes the idea of using crypto support as a litmus test for political support. He argues, “By publicly appearing to support ‘pro-crypto’ candidates just because they are ‘pro-crypto,’ you help create an incentive gradient where politicians come to understand that all they need to do to get your support is to support ‘crypto.’”
Buterin says there’s a risk of simplifying the complex landscape of political issues into a one-dimensional narrative that may not align with the broader interests of the community or the ethical standards expected of government officials. Buterin challenges the community to take a more holistic approach to political engagement: “If a politician is pro-crypto, the key question is: Are they doing it for the right reasons? Do they have a vision for how technology, politics, and economics should proceed in the 21st century that aligns with yours?”
Cardano Founder Hoskinson Responds
Responding to Buterin’s statement, the Cardano founder presented a counterargument that underscores the urgency of political support for crypto-friendly policies, especially given the hostile regulatory landscape. Hoskinson’s response, articulated in a series of posts on X, defends the strategic imperative of supporting candidates who oppose restrictive cryptocurrency regulations.
Hoskinson points out“My first goal has always been to keep the government out of crypto entirely. Where that’s not possible, the choice is pretty clear.” He argues that in environments where government intervention is inevitable, supporting pro-crypto politicians becomes essential to protect the industry from unfavorable regulation.
“Politics is a game of cause and effect. If politicians understand that bullying and harassing our industry will lead to lost elections, they will suddenly avoid it. It’s not complicated, and you shouldn’t have to invent huge cognitive hierarchies to justify your personal dislike of certain people,” Hoskinson writes.
Hoskinson continues his argument: expresses strong opposition to policies that threaten the operational integrity and freedom of the crypto industry. Cardano founder mentions several hostile actions, such as the potential development of Central Bank Digital Currencies (CBDCs)lawsuits against non-custodial wallets and the systematic criminalization of crypto leaders.
Hoskinson emphasizes: “If they want a CBDC, they want to crack down on non-custodial wallets, they want to systematically jail crypto leaders, they want to call everyone a security, and they want to intimidate and harass exchanges, we won’t vote for them.”
The Cardano lead directly contrasts Trump and Biden’s stance on crypto, claiming, “A vote for Biden is a vote for the death of the US crypto industry.” He also attributes a more favorable stance on crypto to Trump due to his willingness to commuting Ross Ulbricht‘s ruling and a general pro-crypto rhetoric as reasons for his support.
“Biden is letting him go to prison for life. There are very real policy differences between Biden, who wants to destroy our industry, and Trump/Kennedy, who embrace it, (…) These statements are based on their actual court behavior, policies, and vetoes – not personal preference. We’ve all seen terrible things happen this crypto winter. I’ve seen friends like Roger and CZ get arrested. Good companies demonized and sued. That has to stop, and it won’t if there are no political consequences. So in 2024, #VoteCrypto,” the Cardano founder concluded.
At the time of going to press, Cardano was trading at $0.449.
Main image from YouTube, chart from TradingView.com