Cryptocurrency Industry Election Spending Reaches Record $119 Million in 2024
Date: 2024-08-22 Author: Gabriel Deangelo Categories: IN WORLD
According to a report from Public Citizen, cryptocurrency companies have invested heavily in the current federal election cycle, accounting for nearly half of all direct corporate spending on elections. The industry contributed $119 million of the $248 million spent by corporations on the election, according to the report.
Cryptocurrency companies are seeking to influence laws and regulations to provide a more favorable environment for their growth by backing crypto-friendly candidates. The goal is to create more lenient rules or clear guidelines that will help reduce the current uncertainty in cryptocurrency regulation.
Much of this money has gone to Fairshake PAC, a super PAC that supports crypto-friendly candidates. Fairshake PAC has raised $202.9 million this year, with $107.9 million of that coming from major crypto companies like Coinbase and Ripple.
The rest of the money has mostly come from crypto billionaires and venture capitalists, including $44 million from the founders of Andreessen Horowitz, $5 million from the Winklevoss brothers, and $1 million from Coinbase CEO Brian Armstrong.
Corporations like Coinbase and Ripple accounted for more than half of Fairshake’s financial backing, totaling $107.9 million, or 53%.
Public Citizen noted that corporate spending on an election this large is unprecedented.
The report also shows that cryptocurrency companies have made up 15% of all corporate contributions over the past three election cycles. That share includes all donations recorded since the 2010 Supreme Court ruling allowing unlimited contributions to super PACs. These organizations should not coordinate directly with candidates’ campaigns.
Cryptocurrency companies now rank second only to fossil fuel giants in terms of campaign spending. Over the past 14 years, cryptocurrency companies have contributed $176 million, with a significant portion of those donations, including $73 million, to Koch Industries, which supported Americans for Prosperity, an organization that actively supported Tea Party Republicans during the Obama presidency.
The study only covers corporate donations to super PACs and hybrid PACs, which are required to report their contributions to the Federal Election Commission.
