Florida 2.0 Update: Political Maneuvering
Despite the ideological divide, both the Trump and DeSantis factions have historically been valuable allies to the blockchain and web 3 communities.
During Florida’s second legislative committee week in Tallahassee, I witnessed firsthand the evolving dynamics of lobbying in an age increasingly shaped by digital communication. Despite the rise of virtual interactions through zoom and google meets, I realized once again that in politics being on location is irreplaceable. As I walked through the halls of the capitol, it was evident that traditional lobbying still holds immense power.
When trying to get legislation passed, what may take weeks over email or phone can take a matter of minutes when you are able to catch a legislator in the hall or just outside their office.
This week, our primary focus centered on our groundbreaking bill pushing decentralized autonomous organizations (DAOs) and open-source software companies.
This bill, a trailblazer in its field, aims to turn Florida into a key destination for these digital-era entities. As someone closely involved in the development of this legislation, I saw it as a strategic move to draw a multi-billion-dollar industry to our state, providing tailored incentives and protections.
Political Maneuvering
The political terrain in Florida is sharply divided between supporters of former President Trump and Governor Ron DeSantis. This division profoundly affects the fate of legislation, especially our. From my experience, understanding and navigating these factions is crucial for successful lawmaking in Florida.
Despite the ideological divide, both the Trump and DeSantis factions have historically been valuable allies to the blockchain and web 3 communities. Their support has been pivotal in the advancement of digital currency and technology legislation, highlighting the significant role of these sectors in Florida’s economic landscape.
However, politics is still politics. Those in the Trump faction have already had a majority of their influence stripped away from them. Most likely, bills sponsored by anyone who has endorsed Trump for President will not pass. However, that doesn’t in anyway mean those bridges should be burned. Those supporting President Trump in the Florida legislator will still have a lot of influence, especially when Florida has its State wide elections come 2026.
As Governor DeSantis approaches what many speculate to be his second to last term, there’s talk of him using this session to lay groundwork for a potential presidential run. In my view, Florida is set to be a testing ground for his national political ambitions, and I expect this to heavily influence our legislative agenda.
As a side note, Floridians should begin thinking about the next Governor to replace DeSantis. Although I am sure many will enter the field, I suspect the following people will run on the Republican side for Governor of Florida: Congressmen Matt Gaetz, Congressmen Byron Donalds, Attorney General Ashley Moody, Lieutenant Governor Jeannette Nunez, and quite possibly, Casey DeSantis.
I think Casey DeSantis running for governor would be an incredibly interesting and strategic move, as it would keep Ron DeSantis relevant if he does not win 2024. Casey DeSantis is very ambitious, well spoken, and well liked by many, especially independents. I suspect a showdown between Casey DeSantis and Matt Gaetz would be quite interesting.
Florida Banking
A key meeting this week was with the Florida Bankers Association, who just named named Kathy Kraninger, former Consumer Financial Protection Bureau (CFPB) director during the Trump administration, to replace Alex Sanchez as chief executive officer. She positioned herself against her job by agreeing with the Trump administration that the CFPB director should be allowed to be fired by the President at will.
Building relationships with the Florida Bankers Association continues to be an important priority for me, the banking continues to be a large issue for many blockchain and webv3 companies.
Kraninger resigned at Biden’s request in the early days of his administration. This appointment is a significant bridge between traditional banking and the burgeoning digital financial sector.
In July 2021, as regulatory oversight of cryptocurrency loomed, Solidus Labs appointed Kraninger to lead its regulatory efforts as its vice president of regulatory affairs. Solidus Labs creates cryptocurrency market surveillance tools.
Of note is the the Florida Banking community mostly blames the web3 industry for the failures of the banks SilverGate, Signature, and Silicone Valley Bank.
Digital Gold & Silver
Of note is that Florida Digital Gold Bill continues to have a lot of support, and is looking very likely to pass this legislative session.
This involves advocating for the state's constitutional right to mint money in the form of gold & silver coinage as per Article 1, Section 10, Clause 1 of the Constitution. This initiative includes abolishing sales taxes on gold and silver transactions to facilitate free and fair trade.
The real key to this legislation is the following: Proposing the digitization of Florida's gold and silver holdings into ABDCs or Asset Backed Digital Currencies which are digital currencies that are backed by physical assets like gold or silver.
By offering a digital currency that is linked to tangible, stable assets, we can provide a viable, citizen-friendly alternative to Central Bank Digital Currencies (CBDCs). This measure will democratize access to sound money, facilitate ease of transactions in the digital age, and contribute to the financial stability of Florida.
Politically this bill should do very well, and be an easy win to then expand Bitcoin adoption next.
Crypto Sales Tax Holiday?
Also, a topic of much discussion was a proposed cryptocurrency sales tax holiday. Though its practical impact seems limited, given that digital assets like Bitcoin aren't currently subject to sales tax, the proposal itself signals an evolving legislative approach to digital currency.
Conclusion
Throughout this week in Tallahassee, it was clear to me: while digital communication is transforming our world, traditional, in-person lobbying remains a powerful tool in shaping Florida's political and economic future.
I think Florida will continue to lead the industry through 2024, regardless of the variety of political outcomes. The friendliness of the legislature continues to grow toward the industry, and as more of these State legislators move to Congress, they will bring their pro-blockchain views with them, much like Congressmen Byron Donalds.
There is still a lot of work to do, and I look forward to discussing what Florida’s next moves will be this week in Dallas at the North American Blockchain Summit.