The cryptocurrency industry has emerged as a notable political force, with more than $135 million spent in the 2024 election cycle to support more than 50 candidates across the political spectrum.
As of Friday morning, all 48 candidates backed by major crypto political action committees (PACs) have been declared winners. according to to Bloomberg, marking a major win for the industry and a potential shift in digital asset regulation for years to come.
‘Anti-Crypto means end of career’
The crypto industry’s spending wasn’t limited to partisan lines; candidates from both the Democratic and Republican parties received support.
The largest investment came from Ohio, where more than $40 million was spent on Republican Bernie Moreno in his campaign against Democratic Senator Sherrod Brown, a known critic of cryptocurrency.
The success of Moreno, who won 50.2% of the vote, illustrates the impact of the financial support. Coinbase CEO Brian Armstrong celebrated the results, stating that “being anti-crypto is a good way to end your career.”
Fairshake has become the largest single-issue super PAC in US history, surpassing traditional corporate donors and now second only to the fossil fuel industry in political spending since the 2010 Supreme Court ruling on political contributions from companies.
The Cedar Innovation Foundation, a crypto-backed lobbying group, has already declared the formation of “the most pro-blockchain and pro-crypto Congress in history,” and urged President-elect Trump to appoint SEC Chairman Gary Gensler , who has been characterized in recent years. be for critical attitude towards the industry.
Political tactics for regulatory objectives
Companies like Coinbase and Ripple are also ramping up their lobbying efforts, employing an unprecedented number of registered lobbyists by 2024. Andreessen Horowitz, a venture capital firm with significant crypto investments, is also expanding its presence in Washington, DC, to further strengthen the industry’s influence.
Political experts note that while financial contributions can facilitate meetings with lawmakers, sustained engagement is crucial to achieving policy goals.
Peter Loge, professor of media and public affairs, emphasized the importance of continued presence and involvement in the political process, saying: “You have to keep showing up.”
The election results have already sparked discussions among candidates about integrating cryptocurrency into their platforms. For example, Republican Sam Brown in the Nevada Senate race began to emphasize blockchain innovation as a key campaign issue following significant advertising spend by Fairshake.
As the cryptocurrency sector takes a victory lap, it faces the challenge of navigating the complex political landscape it helped shape. According to Bloomberg, the industry plans to continue its push for favorable regulations, leveraging its recent electoral success to strengthen its advocacy efforts.
However, critics warn that the tactics employed by the digital assets industry could set a precedent for other sectors, potentially leading to a “more deeply entrenched” system of business security. influence in politics.
Rick Claypool, research director at Public Citizen, described the digital asset industry’s approach as an “intimidation tool” designed to influence lawmakers without openly declaring its interests.
Featured image of DALL-E, chart from TradingView.com