Bitwise Chief Investment Officer, Matt Hougan, believes that the political landscape in Washington, D.C. is undergoing a significant shift that many people are underestimating. In a recent memo, Hougan points out that the crypto industry has successfully built a strong political presence, including the establishment of one of the top political action committees in D.C. He argues that if everyone truly grasped the importance of this shift, the crypto markets would already be at all-time highs.

Hougan notes that outside of the crypto bubble, the general public seems largely disinterested in this political development. He shares his experience of speaking at conferences and struggling to get people engaged in the discussion. Despite discussing the votes, Elizabeth Warren’s anti-crypto stance, and the progress on Ethereum ETFs, people remain indifferent. Hougan attributes this apathy to the complexity of the issue and the distance between these political developments and their direct impact. After all, no policies have actually changed in Washington yet. The repeal of SAB 121 was vetoed, FIT21 is unlikely to pass the Senate before the elections, and the Ethereum ETFs have not been launched.

Hougan acknowledges that although the tide has changed, the real action is yet to happen. He humorously suggests that he should be awakened when the action actually takes place. However, he emphasizes that if people truly understood the implications of the political shift in D.C., the crypto market would already be at new all-time highs.

According to Hougan, a considerable portion of the $20 trillion currently managed by financial advisors will eventually flow into digital assets once the tension between politicians and the crypto industry subsides. He believes that if BlackRock’s entry into the crypto space had a positive impact on the market, the acceptance of crypto by all of Wall Street would be a game-changer. He predicts that the market will eventually wake up to the fact that we are in a new era for crypto, leading to new all-time highs. Until then, there may be opportunities for alpha, or excess returns, in the market.

In conclusion, Hougan highlights the need for people to recognize the political shift in D.C. and its potential impact on the crypto industry. He encourages investors to do their due diligence and acknowledges that investing in Bitcoin, cryptocurrency, or digital assets carries high risk. The Daily Hodl, where the article is published, does not provide investment advice or recommend buying or selling cryptocurrencies.