Trump’s election victory drives a 25-30% increase in crypto brand ad spending

Following Donald Trump’s victory in the 2024 U.S. elections, cryptocurrency investments, particularly in Bitcoin, have surged. Bitcoin’s value spiked to around $89,000 shortly after the election results, marking a 30% increase in just a week leading up to November 12, 2024. Other cryptocurrencies, like Dogecoin, also saw significant growth, with a 152% rise.

This surge can be attributed to optimism surrounding the possibility of a crypto-friendly U.S. administration, with expectations of clearer regulations boosting investor confidence. The global effects are evident, with Bitcoin reaching record highs in India, surpassing Rs. 68.9 lakhs (approximately $84,000), more than doubling its value from the previous year.

Crypto Brands Ramp Up Advertising Spend

As crypto investments rise, brands in India are capitalizing on the momentum by increasing their advertising and marketing efforts. Many have launched new campaigns focused on educating the public about cryptocurrencies. Recently, Binance hosted a meetup to discuss the future of crypto in India.

Prashant Verma, Chief Growth & Marketing Officer at CoinDCX, reveals that the company has increased its advertising spend by 25-30%. “We expect our ad spend to double in the next six months. Our primary focus is on education, with campaigns like the one featuring Gautam Gambhir reflecting this commitment,” Verma says.

Raj Karkara, COO of ZebPay, a leading crypto exchange, shares similar sentiments, noting, “As Bitcoin reaches an all-time high, we expect a boost in advertising spend from crypto platforms. With the sector becoming more competitive, maintaining visibility across digital, social, and traditional channels will be critical.” He adds that ZebPay is focused on educating investors, using data-driven insights and a multi-channel approach to engage audiences.

The Role of Influencers

Shayesta Shahzabeen, Brand Strategy and Innovation expert at BC Web Wise, predicts a 20-30% increase in digital advertising spend, especially as brands aim to leverage the renewed optimism surrounding crypto. “Influencers will play a significant role in driving growth, especially in tier-two markets where regional multilingual campaigns will become more common to target a broader audience.”

Crypto Advertising Trends in India

The pandemic initially provided a major boost to crypto exchanges, with ad spend more than doubling in 2020-2021. Celebrities like Ranveer Singh and Ayushmann Khurrana were prominently featured in crypto campaigns.

However, the introduction of a 30% tax on cryptocurrency transaction profits in 2022 led many platforms to drastically cut their advertising budgets by 80-90%. The high taxation created a challenging environment for crypto companies, forcing them to rethink their marketing strategies.

Now, with positive sentiment surrounding cryptocurrencies in the U.S., there is renewed optimism in India as well. Industry leaders anticipate that this global momentum will translate into more favorable attitudes and greater investment in India’s crypto space.