Bitrabo Editorial
The cryptocurrency industry, often at odds with the Biden administration, is now actively engaging in political efforts to influence the Democratic Party.
A recent report by Bloomberg reveals that several pro-crypto super Political Action Committees (PACs) have raised more than $170 million to support candidates in congressional primaries, with a specific focus on Democrats.
Cryptocurrency Industry’s Political Strategy
To influence the Democratic Party’s direction, the cryptocurrency industry is investing substantial resources through influential super PACs to gain significant influence in congressional primaries.
Leading this political maneuver is Protect Progress, a PAC supporting cryptocurrency interests that has contributed over $13 million to US congressional campaigns.
According to filings with the Federal Election Commission, Protect Progress, along with Fairshake and Defend American Jobs, has amassed $170 million for the 2024 campaign cycle to promote crypto-friendly candidates.
Supporters of this political effort include venture capital firm Andreessen Horowitz (a16z), Coinbase, and the Winklevoss brothers from the Gemini exchange in the US.
The goal of these super PACs, as per the report, is to advocate for clearer regulations in the cryptocurrency space and address concerns over regulatory actions by the US Securities and Exchange Commission.
Supporting Democrats and Republicans
Unlike traditional PACs, these super PACs can receive unlimited contributions from various sources but cannot directly contribute to or coordinate with candidates or their campaigns.
Protect Progress has strategically allocated funds to support pro-cryptocurrency Democrats, while its counterparts focus on backing cryptocurrency-friendly Republicans.
Former President Donald Trump’s pro-innovation stance has garnered support from crypto industry leaders, who have made donations to his campaign. Trump has pledged to support cryptocurrency and has criticized SEC Chairman Gary Gensler for current regulatory uncertainties.
Despite the support for Trump, these super PACs are also looking to align with Democrats who view cryptocurrencies as a technological opportunity and advocate for favorable regulations.
Featured image by DALL-E, chart from TradingView.com