Following a successful showing in 2024 US elections, the cryptocurrency industry is significantly increasing its political spending in preparation for the 2026 midterms. A number of super political action committees (PACs) focused on crypto are pooling together a major $263 million war chest, according to Bloomberg.
Fairshake Leads With $141 Million
The legislative victories with the passage of the GENIUS Act, coupled with the Trump family’s endorsement of crypto, are reportedly prompting many newer super PACs to pivot from previous strategies and align more closely with Republican candidates.
A primary focus is a proposed crypto market-structure bill that seeks to implement comprehensive changes to the oversight of digital assets, potentially empowering the Commodity Futures Trading Commission (CFTC), which has been more receptive to the industry’s interests.
Collaborations have further emerged between crypto firms and Trump-affiliated ventures, along with donations to Trump’s inauguration and military events. Several companies are also contributing to the development of a new White House ballroom, with notable supporters including Coinbase, Ripple, and the US arm of Tether (USDT).
Fairshake remains the largest PAC, reporting $141 million in its coffers as of the end of June, after spending more than $133 million to back pro-crypto candidates during 2024.
In its efforts to promote crypto-friendly policies across party lines, Fairshake allocated around $10 million each to support Democratic senators Elissa Slotkin and Ruben Gallego, both of whom successfully won their races in Michigan and Arizona.
They were among the 18 Democratic senators who voted in favor of the GENIUS Act, which facilitated broader usage of stablecoins, a favored instrument of the crypto sector.
New Super PACs Arise To Boost Pro-Crypto Candidates
Another new organization, the First Principles Digital PAC, identifies itself as a Republican-focused entity dedicated to electing pro-crypto leaders. Led by Republican strategist Jason Thielman, this PAC was established after the 2024 elections and reported approximately $954,000 in cash as of the end of June.
Fellowship PAC, which emerged in September with $100 million in commitments, is another new player, though its donors have not been publicly disclosed. Initial filings indicate its treasurer is an executive from Cantor Fitzgerald, the financial firm previously headed by Trump’s commerce secretary, Howard Lutnick.
Democrats are increasingly apprehensive about the financial firepower of the crypto sector. Erik Balsbaugh, who has campaigned for Elizabeth Warren and Hillary Clinton, now directs a new group called Open Frontier, which aims to amplify progressive voices within the crypto conversation.
“Many on my side are striving to understand this industry,” Balsbaugh stated. “There’s a lack of trustworthy messengers, and significant skepticism about crypto remains.”
Democrats Reevaluate Stance
Ahead of this new election cycle, Bloomberg reports that there are indications that the industry’s growing financial reserves and political clout are prompting some Democrats to reassess their positions.
Even Sherrod Brown has moderated his criticisms, with his campaign manager stating, “Cryptocurrency is increasingly becoming integrated into America’s economy, especially in Ohio.
Industry executives are also looking beyond the immediate target of the market-structure bill, which Republicans hope to advance before the midterms.
Their goals include reforming digital asset taxation, revising regulations surrounding money laundering and sanctions, and establishing clearer guidelines for decentralized exchanges (DEXs).
Featured image from DALL-E, chart from TradingView.com