ARK Invest suggests that the recent victory of Donald Trump could benefit cryptocurrency firms looking to go public, particularly Circle and Kraken. The new administration may bring clarity to digital asset regulations, which could pave the way for Initial Public Offerings (IPOs) in the sector. Frank Downing, ARK Invest’s director of research, notes that legislative efforts like the FIT21 and the Clarity for Payment Stablecoins Act of 2023 aim to provide clearer frameworks for digital assets, and the prospects for these initiatives have improved with the Republican majority in Congress. Stablecoin issuer Circle has been seeking to go public, having filed confidentially for an IPO, but regulatory concerns, especially from the SEC, have delayed progress. Meanwhile, Kraken recently raised $100 million for its pre-IPO plans. Cathie Wood, CEO of ARK Invest, emphasizes that reducing SEC constraints under a Trump presidency will likely stimulate the U.S. economy and enhance opportunities for digital assets.

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