Written by Hannah Lang
(Reuters) – Outside political groups connected to the cryptocurrency industry have set aside $100 million in funds to spend in the upcoming U.S. Congressional elections to field digital asset-friendly candidates, according to a report by Public Citizen. It is said that more than $2 million was raised.
Why is it important?
According to Public Citizen, only two other political groups, or super PACs, have raised more money than the crypto sector this election cycle.
As the crypto industry faces increased scrutiny from regulators like the Securities and Exchange Commission and lawmakers, crypto companies are showing how much they want to influence policy in their favor. This can be seen from the funds raised by currency-backed super PACs.
Look at the numbers
According to the report, approximately $54 million of the cryptocurrency industry's political funding comes from direct corporate spending, primarily from Coinbase and Ripple Labs.
The rest came from crypto executives and venture capitalists, including $11 million each from founder Andreessen Horowitz, $5 million from crypto exchange Gemini founders Cameron Winklevoss and Tyler Winklevoss; Coinbase CEO Brian Armstrong has invested $1 million.
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A crypto-backed super PAC has announced it will focus its money on the November U.S. Senate races in Ohio and Montana, where Democrats Sherrod Brown and Jon Tester are up for re-election.
Mr. Brown and Mr. Tester both serve on the Senate Banking Committee and have particularly criticized the use of cryptocurrencies by groups that the United States views as villains, such as Hamas and North Korea's Lazarus Group.
(Reporting by Hannah Lang in New York; Editing by Jonathan Oatis)
