In a recent interview on CNBC, Kraken CEO Dave Ripley noted a significant change in the Biden Administration's stance on cryptocurrencies, describing it as "softening." Speaking with "Squawk Box" host Joe Kernan, Ripley explained, "Earlier this year, the executive branch, particularly through the SEC, held a strongly negative position on cryptocurrencies.

However, there have always been advocates within various branches of the U.S. government. During my regular visits to Washington, D.C., I've met many supportive members of Congress and the Senate. Recently, over the past couple of months, we’ve observed increasing and now bipartisan support."

Ripley pointed to the successful passage of the Financial Innovation and Technology for the 21st Century Act (FIT21) as a key indicator of this shift. The legislation, designed to provide a comprehensive regulatory framework for the cryptocurrency industry, passed with a substantial majority of 279-136 votes on May 22. "We were pleasantly surprised by the level of support," Ripley said. "It was a significant achievement, with 71 votes coming from the Democratic side. This shows a noticeable softening in the executive branch’s approach to crypto."

Trump's Evolving Crypto Stance

Ripley also commented on former President Donald Trump's recent change in attitude towards cryptocurrencies. Once a staunch critic who referred to Bitcoin as a "scam," Trump has shown signs of reconsideration. Ripley framed this shift as part of a broader educational "journey" typical for many individuals engaging with cryptocurrency.

"Everyone undergoes a learning process with Bitcoin and cryptocurrency, myself included," Ripley said. "Trump’s recent statements on Bitcoin and cryptocurrency suggest he is also on this learning journey. When people invest time in understanding Bitcoin and cryptocurrency, the results are almost always positive."

Trump's newfound interest in crypto became more evident with the launch of his NFT collection in April 2023 and his expressed support for cryptocurrencies in late May of this year, as reported by the Block.

Overall, Ripley's observations suggest a promising trend towards greater acceptance and regulation of cryptocurrencies within the U.S. government, potentially paving the way for a more supportive environment for the industry.