Fairshake raised $24.5 million on Coinbase for its cryptocurrency-fueled, blockchain innovations in the 2024 U.S. election.
Posted: February 1, 2024 10:57 AM Updated: February 1, 2024 10:57 AM
Correction and fact check date: February 1, 2024, 10:57 AM
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Fairshake received a $24.5 million donation from Coinbase, bringing its total donations to the committee to $85 million.
Fairshake, a federal political action committee, received a $24.5 million donation from cryptocurrency exchange Coinbase, bringing its total donations to the committee to $85 million. In addition to Coinbase’s corporate donations, CEO Brian Armstrong personally donated $1 million to a “war chest” designed to support cryptocurrency-friendly politicians.
The donation matches Coinbase with other notable contributors such as a16z and Ripple, who donated $20 million, Electric Capital, who donated $500,000, and the organization’s spokesperson Josh Vlasto, who donated $100,000. This is a strategic response to ongoing regulatory scrutiny of the cryptocurrency sector. White House.
“The cryptocurrency community has come together to help elect leaders who support innovation and job creation in America. It is long past time for Congress and the administration to pass strong, accountable regulations that support innovation and growth, protect consumers, and root out bad actors,” said Josh Vlasto, Fairshake spokesperson.
Fairshake supports Democratic and Republican candidates who favor cryptocurrencies. The committee’s most significant spending so far has been allocated to supporting Rep. Patrick McHenry, a Republican from North Carolina who decided not to seek re-election. Fairshake also includes Rep. Dusty Johnson, a South Dakota Republican; Josh Gottheimer, a Democratic congressman from New Jersey; and Tom Emmer, a Republican from Minnesota.
“Supporting candidates from both parties who take a long-term view on technology is a critical part of developing clear rules for blockchain technology and digital assets. Cryptocurrencies are at a tipping point in the United States, and without a clear regulatory framework for entrepreneurs, we risk sending innovation overseas while harming consumers by allowing bad actors to continue to slip through the cracks,” said Andreessen Horowitz, Government Practice. said Director Collin McCune. , in a written statement.
In the fourth quarter of last year, Fairshake reported raising $78 million. These funds have been earmarked to support candidates sympathetic to cryptocurrency and blockchain innovation during the upcoming 2024 US elections.
US cryptocurrency sector faces regulatory burden
The U.S. cryptocurrency sector continues to struggle amid an ongoing regulatory crackdown launched by the U.S. government last year.
According to a report from litigation consulting firm Cornerstone Research, the SEC filed the most cryptocurrency-related enforcement cases in 2023 since 2013, indicating that digital assets have become a “top priority” for the commission. Despite approving a spot Bitcoin ETF last month, the SEC appears to be adopting a “regulation by enforcement” strategy for digital assets instead of providing a clear regulatory framework for companies to adhere to.
Republican leaders on the House Financial Services Committee recently called for a review of rules proposed by the Consumer Financial Protection Bureau (CFPB), first introduced last November, citing concerns about unclear impacts on digital assets.
The rule aims to give the CFPB the authority to oversee “large non-bank companies” that provide services such as digital wallets and payment applications. We propose that non-bank financial institutions that process more than 5 million transactions annually be subject to the same regulations as large banks and credit unions.
If enacted, this rule could create additional regulatory uncertainty and potentially impair the functioning of the digital asset industry, particularly with respect to transactions involving digital assets.
In the changing landscape of the U.S. cryptocurrency sector, companies like Fairshake highlight the industry’s efforts to exert political influence amid ongoing regulatory challenges by securing donations to protect the interests of the growing sector.
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Alisa is a reporter for Metaverse Post. She focuses on everything related to investing, AI, metaverse, and Web3. Alisa holds a degree in Art Business and her expertise lies in the fields of art and technology. She developed a passion for journalism through her work with VCs, notable cryptocurrency projects, and science writing. You can contact us at (email protected).
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alice davidson
Alisa is a reporter for Metaverse Post. She focuses on everything related to investing, AI, metaverse, and Web3. Alisa holds a degree in Art Business and her expertise lies in the fields of art and technology. She developed a passion for journalism through her work with VCs, notable cryptocurrency projects, and science writing. You can contact us at (email protected).
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