Trump Emerges as Clear Favorite of Oil and Gas Industry, While Crypto Industry Remains Uncertain
In the race for the Republican presidential nomination, former U.S. President and current candidate Donald Trump has solidified his position as the favored candidate of the oil and gas industry, receiving almost ten times more in donations from the sector compared to his rival Nikki Haley.
A recent Bloomberg report reveals that Trump has received a whopping $7.37 million in donations from the oil and gas sector, while President Joe Biden’s reelection campaign has only received a modest $635,000 from industry donors, despite overseeing a period of booming oil production and profits.
The substantial financial backing from the oil and gas industry is playing a crucial role in Trump’s 2024 campaign, positioning it as one of the primary industries supporting his bid for a return to the White House. Meanwhile, major donors from finance, private equity, and venture capital have shifted their support to Haley.
Interestingly, Trump has also gained some support from the cryptocurrency community after expressing his opposition to the creation of a central bank digital currency (CBDC). His stance on this issue resonates with the crypto industry, although there are doubts about whether his potential return to the presidency would lead to a change in the government’s approach to crypto enforcement actions.
During a campaign speech, Trump vowed to protect Americans from “government tyranny” by opposing the creation of a CBDC, arguing that such a currency would give the federal government absolute control over people’s money. While this stance has garnered attention and support from some in the crypto industry, the landscape remains uncertain.
The upcoming election is crucial for the crypto industry, as it will determine the approach of SEC Chair Gary Gensler towards regulating crypto initiatives and services. Gensler has adopted a tough stance on the industry, taking legal action against major exchanges like Coinbase and Binance. The industry is closely watching how regulatory appointments under a potential Trump administration could shape the future of crypto regulation.
Initially, oil and gas donations were spread among various Republican candidates, including Haley and Florida Governor Ron Desantis. However, as Trump’s chances of securing the nomination improved, the industry’s support united behind him.
While Haley has secured some support from the energy sector, prominent figures on Wall Street like Ken Griffin, Stan Druckenmiller, and Paul Singer have backed her campaign more significantly.
Despite President Biden’s aggressive stance on climate change and renewable energy, the U.S. has witnessed an unexpected surge in domestic oil and gas production under his administration. November recorded a record-breaking production of 13.3 million barrels of crude oil per day, a significant increase from the 11 million barrels per day in 2020.
Surprisingly, oil and gas exports have also doubled compared to pre-Biden levels. Industry leaders claim that this growth is occurring despite Biden’s policies, as the president has pushed for electric vehicles, imposed methane emission fees, and restricted new drilling rights. In contrast, Trump has pledged to embrace fossil fuel production.
Featured image via Unsplash.