The US only constitutes 15% of global GDP. There's no reason to think that US investors represent an outsized position in crypto holdings. American funds may ha

The US only constitutes 15% of global GDP. There's no reason to think that US investors represent an outsized position in crypto holdings. American funds may have large positions, but that's largely because the American asset managers tend to attract substantial overseas positions. There's no reason to think that, say a Japanese pension fund, that's invested in Grayscale is going to say, "oh shoot, guess there's no possible way to allocate to this asset class now". They'll just reinvest that same allocation in a UK or Caymans domiciled fund. If anything the 85% of crypto investors who aren't invested, will most likely hoard in anticipation of the policy being reversed. For better or worse the US government has extremely low credibility when it comes to long-term policy consistency. Almost any US policy can simply be waited out until Congress/White House flips parties.