US crypto super PACs have raised more than $100 million, report says

By Hannah Lang

(Reuters) – Outside political groups tied to the cryptocurrency industry have raised more than $102 million to spend in upcoming U.S. congressional elections to promote candidates friendly to digital assets, according to a report from Public Citizen.

WHY IT’S IMPORTANT

Only two other political groups, or super PACs, have raised more money from the crypto industry this election cycle, Public Citizen said.

The money raised by crypto-backed super PACs shows how crypto companies hope to influence policies in their favor as the industry faces increased scrutiny from regulators like the Securities and Exchange Commission as well as lawmakers.

BY THE NUMBERS

According to the report, approximately $54 million of the crypto industry’s political war chest comes from direct corporate spending, primarily from Coinbase and Ripple Labs.

The rest comes from crypto executives and venture capitalists: $11 million from the founders of Andreessen Horowitz, $5 million from crypto exchange Gemini founders Cameron and Tyler Winklevoss, and $1 million from Coinbase CEO Brian Armstrong.

CONTEXT

Crypto-backed super PACs said they would focus their spending on U.S. Senate races in Ohio and Montana in November, where Democrats Sherrod Brown and Jon Tester are seeking re-election.

Both Brown and Tester sit on the Senate Banking Committee and have been critical of cryptocurrency, particularly its use by groups the US views as bad actors, including Hamas and North Korea’s Lazarus Group.

(Reporting by Hannah Lang in New York; Editing by Jonathan Oatis)