No matter who wins president, cryptocurrencies will have meaningful representation in the US Congress.
The crypto sector is gearing up for significant political influence in the US Congress, backed by a massive $160 million in super PAC spending, according to a new report from Polico.
The funding is aimed at supporting crypto-friendly members of both houses of Congress in the 2024 elections, potentially setting the stage for the most crypto-friendly Congress ever. The candidates are working across party lines, demonstrating a bipartisan commitment within the industry to achieve a favorable regulatory environment and further mainstream digital assets.
House and Senate influence
Up to 13 new pro-crypto candidates in the House of Representatives, backed by industry-funded super PACs that have strategically deployed money to strengthen alliances and oust critics. There is a possibility that he will be elected to a certain seat. These incoming members of Congress represent a wide range of political parties, from progressive Democrats focused on financial inclusion to Republicans who see digital assets as tools for economic freedom and criticize the Biden administration’s crypto stance. It’s coming from a perspective. If successful, the new Congress could reduce regulatory barriers, a long-standing goal of the industry, and broaden support across traditional partisan divides.
In the Senate, high-profile candidates like Rep. Adam Schiff (D-Calif.) and Rep. John Curtis (R-Utah) are expected to win seats, ensuring support from both sides of the aisle. are. Republicans have large numbers of crypto supporters in battleground states, especially if they win a majority, which could further tilt the Senate toward a pro-crypto stance.
Source: Politico
Important goals of the House of Representatives
The crypto super PAC has allocated about $31.5 million to House Democrats, including Alabama’s Shomali Figures ($2.6 million) and Reps. Don Davis of North Carolina and Yasamin Ansari of Arizona. The focus is on the person. Figures, who was initially not considered a crypto ally due to his partnership with the Biden Justice Department, is now advocating for the benefits of digital assets in fostering innovation and a regulatory framework to protect the economy. I am doing it. Protect Progress, a major super PAC, has invested heavily to secure pro-crypto Democratic candidates in key districts, and is seeking more progressive candidates or a willingness to align with industry goals. Targeting certain candidates.
For Republicans, $16.7 million was spent to boost the campaigns of incumbents in battleground districts such as California Rep. Michelle Steele and South Carolina Rep. William Timmons. Influenced by figures like former President Trump, who envisioned the United States as the “crypto capital,” Republican candidates are increasingly embracing cryptocurrencies.
Senate spending and strategic gambling
In the Senate, crypto funds peaked at $49.6 million, with large investments going to candidates like Ohio’s Bernie Moreno ($40.1 million). A Republican victory in Ohio would strengthen the momentum for promoting cryptocurrencies, making Moreno’s campaign against Senate Banking Committee Chairman Sherrod Brown, a vocal critic of cryptocurrencies, a key battleground. A victory here would also neutralize Brown, a major regulatory hurdle for the crypto sector. Other Senate races, including Michigan, Arizona, and Pennsylvania, have been strengthened by candidates aligned with crypto-friendly policies, increasing the likelihood of a Republican-led pro-crypto Senate.
Source: Politico
Impact on the industry and future outlook
If Republicans control the Senate, this bipartisan shift toward cryptocurrencies could be a historic turning point for the industry. This legal change, facilitated by the industry’s significant political investment, could foster an unprecedented regulatory environment favorable to cryptocurrencies.
Cryptocurrency lobbying and grassroots dynamics
Cryptocurrency lobbying has evolved beyond traditional funding, with companies also mobilizing public support through initiatives such as Coinbase’s Stand with Crypto campaign. These initiatives include events such as watch parties where crypto enthusiasts gather to discuss politics and policy. But mobilizing grassroots support has proven difficult. Many crypto supporters support decentralized systems precisely because they want an alternative to politics and are reluctant to participate in political campaigns.
Some lobbying tactics, particularly those led by pro-crypto PACs, have come under criticism. For example, FairShake spent $10 million on attack ads against California Congresswoman Katie Porter, despite its relatively neutral stance on cryptocurrencies. Such campaigns are causing confusion among politicians and the public alike, with some industry players more interested in exerting influence than genuinely promoting pro-crypto legislation. Some people doubt that there is.
There remains one major hurdle to passing a comprehensive cryptocurrency bill. The FIT21 bill has bipartisan support in the House, but faces an uncertain future in the Senate. Prominent Democrats like Nancy Pelosi have shown quiet support, but others, especially Senate Democrats like Sherrod Brown, remain wary of crypto’s reputation, which could stall progress. There is a possibility.
Despite unprecedented political spending on cryptocurrencies, their effectiveness is uncertain. The SEC remains a formidable adversary, and a lack of unity among industry players and political allies complicates the lobbying landscape. While support from influential figures, such as a possible endorsement from President Trump, could boost the political standing of cryptocurrencies, there is also a real risk of a backlash. Aggressive spending could lead to increased regulatory scrutiny and legislative gridlock, which could hinder cryptocurrencies’ momentum.
In the lead-up to the 2024 US presidential election, the cryptocurrency industry’s hopes are not focused on any particular candidate. Industry analysts are optimistic about a bullish environment for assets like Bitcoin post-election, citing increased liquidity and a retreat from institutional investors. Whether Trump or Harris wins, the focus will continue to be on long-term market trends rather than short-term political victories.
Source: Support Cryptocurrency
