The Cryptocurrency industry in 2024 is defined by a clear division between heroes and villains. Regulatory pushbacks led by Gary Gensler and anti-Crypto politicians have cast a shadow of darkness, while hackers exploit vulnerabilities and cause huge losses.
However, figures like Donald Trump, Coinbase and Hester Peirce have emerged as defenders, fighting for clarity, innovation and a Crypto-friendly future.
Villains: Who Sabotaged Cryptocurrency in 2024?
Gary Gensler and the SEC
In 2024, Gary Gensler, Chairman of the United States Securities and Exchange Commission (SEC), emerged as one of the most divisive figures in the Cryptocurrency industry. Known for his strict regulatory stance, Gensler became a villain in the eyes of many Cryptocurrency enthusiasts and industry insiders. His tenure was marked by strong enforcement actions and regulatory ambiguity that left Cryptocurrency companies uncertain about their compliance requirements.
Under Gensler’s leadership, the SEC requested an unprecedented $2.6 billion to crack down on cryptocurrency markets, signaling a more aggressive stance toward the industry. However, his heavy-handed approach began to receive significant opposition. A judge in the United States has punished the SEC for abuse of power in a Cryptocurrency case, a moment that adds to concerns about regulatory overreach.
Gensler’s lack of clarity around defining a Cryptocurrency asset has added to the frustration. While testifying before Congress, Gensler faced harsh questions about the lack of clear rules, especially for Ethereum.
Notably, his threat to block an Ethereum ETF proposal caused significant outrage. In response, even major Crypto companies like Consensys sued the SEC, accusing Gensler of exceeding his authority.
Gensler’s mistakes were not overlooked. Amid mounting criticism, Hester Peirce, known as “Crypto Mom” and one of the SEC’s commissioners, admitted flaws in the agency’s approach.
Gensler’s association with the Biden administration has fueled the fire. Concerns peaked when Vice President Kamala Harris was said to have considered appointing Gensler as Secretary of the Treasury, causing concern in the Cryptocurrency community. The hostility that Biden and Harris reportedly show towards Cryptocurrency has cemented their status as villains in 2024.
However, as calls for accountability grew, Gensler announced his upcoming resignation, expected in early 2025. Paul Atkins, who was expected to take over the role in January, is a more Crypto-friendly candidate, bringing glimmers of hope to the industry.
Hackers: North Korea and Beyond
Hackers continue to be a threat to the Cryptocurrency market in 2024, causing losses of 2.1 billion USD in the third quarter (Q3) alone. Among the most notable incidents:
These attacks, combined with North Korea’s evolving tactics, demonstrate the persistent threat of cybercriminals in the Cryptocurrency space. Even top celebrities have become victims of Cryptocurrency-related attacks.
Soccer Stars Kylian Mbappé and Lionel Messi Face Cryptocurrency Scams. More recently, rapper Drake’s X account was hacked to promote a fake Meme Coin.
Heroes: Who Saved Cryptocurrency in 2024?
Donald Trump: Defender of Cryptocurrencies
In stark contrast to the anti-Cryptocurrency forces, Donald Trump has emerged as the industry’s most prominent hero. Trump’s pro-Cryptocurrency statements ahead of the 2024 US presidential election have stimulated the industry. He has laid out a comprehensive blueprint for Cryptocurrency regulation, promising to overturn restrictive regulations and promote innovation.
Trump promised to fire Gary Gensler and recently replaced him with Paul Atkins, signaling a major shift in the SEC’s approach. Trump’s vision goes further, including plans to establish a Bitcoin reserve fund as part of US fiscal policy.
He also pledged to reform Cryptocurrency regulations that are outdated beyond Gensler’s time. As part of the pledge, Trump recently appointed David Sacks to a key position to dismantle Choke Point 2.0, a policy said to target Crypto-friendly financial institutions .
Additionally, Trump’s proposal for a DOGE (Department of Government Effectiveness), with the participation of influential figures such as Elon Musk and Vivek Ramaswamy, brings humorous but symbolic expression to the war. His move towards Cryptocurrency.
Coinbase: The industry’s whistleblower
Cryptocurrency exchange giant Coinbase has played a key role in revealing unfair practices by US regulators. The company revealed that the FDIC has advised banks to limit Cryptocurrency services.
The move has raised concerns about institutional bias against digital assets. Coinbase’s advocacy efforts have highlighted the need for a balanced regulatory approach to protect innovation.
In late October, Coinbase CEO Brian Armstrong highlighted growing discontent within the Cryptocurrency industry over what many see as excessive regulatory oversight. He also criticized the agency for vague enforcement actions under Gensler.
Furthermore, Armstrong pointed out some controversial statements made by the financial regulator. Based on that, he demanded that the next SEC chairman withdraw what he called “wasteful lawsuits” and apologize to the American people.
“The next SEC chairman should withdraw all lawsuits and apologize to the American people. That will not undo the damage done to the country, but it will begin the process of restoring trust in the SEC as an institution,” Armstrong said. posted.
Hester Peirce: The voice of reason
Within the SEC, Hester Peirce continues to advocate for Cryptocurrency innovation. Her public admission of errors in the agency’s enforcement actions was seen as a rare moment of self-reflection within the regulator. Peirce remains a beacon of hope, advocating for clear rules and fair treatment for Crypto companies.
“We knew up front that there were legal questions about whether we had the right to do what we did, but we moved forward,” Peirce speak.
As Gensler prepares to step down and Trump’s vision continues to evolve, 2025 promises to be a transformative year. The industry’s resilience in the face of adversity reflects its strong growth potential, provided it overcomes these challenges with strong leadership and clear regulations.