The US government has stifled crypto for 4 years 

The most frustrating part of the government’s assault on crypto was that it was undemocratic. Congress didn’t act. No laws were passed. Instead, bureaucrats — the vast majority of whom are unelected — refused to clarify the laws around crypto. 

The industry asked for rules, and the regulators said, “No.” Instead, they sued innovators, “debanked” crypto companies and their founders, and terrorized the industry in many other ways. 

One of the most damaging aspects of this was ruining what’s called “tokenomics.” I’ll talk more about this in a future issue and inside my Venture advisory. But in short, tokenomics describes what your ownership of a crypto entitles you to. 

For example, when you’re buying equities, you’re entitled to a slice of the profits of the underlying business. When you buy a bond, you get a promise that the company will pay you interest plus the principal back. 

When you’re buying crypto, what are you getting? The most promising cryptos had great answers to this. Hivemapper (HONEY), for example, pays users to buy and install a dashcam in their car and then drive around with it to create a real-time, constantly updated map to disrupt Google Maps. It pays the users in crypto. 

Great idea, right? Not allowed. Although my Venture members made good money on Hivemapper by buying at $0.01 and taking profits at $0.12, its huge potential has been capped. The fact it’s been able to somewhat flourish anyway is a huge testament to its team. 

There are dozens of Hivemappers out there — phenomenal teams with great ideas that were just waiting for regulatory clarity. You’ll see a burst of them now that the dominoes are starting to fall. 

3 dominoes that must fall for bitcoin to surpass $250,000 

For crypto to thrive in America, three dominos need to fall. The good news is they’re already tipping. 

#1 Clear rules: 

As I’ve said all along, we need clear rules. One of the many ways the government has held crypto hostage is by refusing to say who regulates it. Is a given crypto a security, which would put it under the Securities and Exchange Commission (SEC)? Or is it a commodity, which would put it under the Commodity Futures Trading Commission (CFTC)? 

No one knows, which means multiple regulatory bodies claim jurisdiction. This will be fixed, and soon. 

Earlier this year, the House passed the Financial Innovation and Technology for the 21st Century Act (FIT21). Now that Republicans also control the Senate, expect this bill to get signed into law in the first half of 2025. 

Think of this as crypto’s “legalization day” — the moment Wall Street can finally touch this asset class without worry they’re inadvertently breaking some law. 

#2 End Operation Choke Point 2.0: 

This is the government’s primary tool to strangle crypto. It essentially made it illegal, or very risky, for banks to associate with crypto companies. 

Sherrod Brown, a senator from Ohio, was the architect behind Operation Choke Point 2.0. He just lost his Senate seat. 

Expect banks to be “open for business” once the new administration takes power. 

#3 Fire Gary Gensler: 

The SEC chairman who’s ultra-hostile to crypto. 

Gensler’s term isn’t up until 2026, but expect him to resign once Trump takes office. It’s tradition. SEC chairs typically leave when their president loses. 

If you’re interested in crypto, I caution you against waiting for these three catalysts. Markets are forward-looking. The price surges in bitcoin, Ethereum (ETH), and many other cryptos have made that clear. 

Bottom line: This is not a time to wait and see. It’s time to act.