Coinbase Allocates $25 Million to Support Crypto-Friendly Politicians in the US

American cryptocurrency exchange Coinbase has allocated $25 million to support the political action committee (PAC) Fairshake, boosting the organisation’s budget to $160 million. This was reported by Fox Business, citing the company’s CEO, Brian Armstrong.

This level of funding places Fairshake among the top five largest PACs in the current election cycle. As of December 2023, the organisation’s budget was only $78 million.

Coinbase contributed funds alongside Ripple and Andreessen Horowitz, which invested similar amounts. All three companies are ranked among the top political donors by Open Secrets.

According to journalists, Fairshake has already spent $40 million on funding crypto-friendly candidates running for seats in the House of Representatives and the Senate.

“The best way to achieve regulatory clarity in democratic countries is to elect pro-crypto candidates on both sides and vote out opponents of digital assets,” Armstrong stated.

He added that it is now “necessary to send a decisive signal in November by choosing candidates who represent our values.”

Fox Business noted that Coinbase owns the non-profit advocacy group Stand with Crypto, which encourages voters to actively support crypto asset proponents.

According to the project’s website, since its launch in August 2023, the organisation has attracted over 950,000 “crypto supporters” and raised more than $87 million in donations.

Stand with Crypto also maintains a list of all political figures with ratings of their stance on digital assets, using a scale from A to F.

“Crypto voters will not be taken seriously until we send a clear signal to political candidates that opposing cryptocurrencies is bad policy,” Armstrong emphasised.

On June 1, US President Joe Biden vetoed Personnel Accounting Bulletin 121, which would have allowed regulated companies, including banks, to hold cryptocurrency on their balance sheets.

According to a Paradigm survey, 48% of voters holding digital assets plan to vote for Donald Trump in the November elections. 38% prefer Biden, while 13% remain undecided.

Analysts at TD Cowen believe that political spending, including funds from Fairshake, could increase the chances of passing legislation on cryptocurrencies and stablecoins.