Crypto Sector Invests Over $238 Million in 2024 US Elections, Surpassing Oil and Pharma

The cryptocurrency industry in the United States has made a remarkable investment of over $238 million in the 2024 election cycle, outpacing traditional sectors such as oil, pharmaceuticals, and significant Wall Street firms. This marks a historic moment for the digital asset sector, as it becomes the leading contributor in political financing compared to these established industries.

Breakdown of Crypto Donations

Data compiled by blockchain analytics firm Breadcrumbs, as reported by Fox Business, reveals that $181 million of the total investment was funneled into pro-crypto super PACs. An additional $57 million was allocated to individual candidates and their supporting committees.

Prominent companies within the industry, including Coinbase, Ripple, and venture capital firm Andreessen Horowitz, collectively contributed approximately $160 million to PACs that support candidates favorable to the digital asset sector.

Major Recipients of Crypto Contributions

Former President Donald Trump and Vice President Kamala Harris are among the top beneficiaries of these contributions. Trump's campaign has raised more than $22 million from crypto sources, which includes over $8 million in donations made with cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and Ripple’s XRP.

Howard Lutnick, CEO of Cantor Fitzgerald and a notable Bitcoin investor, has donated at least $6 million to Trump’s campaign. If elected, Trump has pledged to remove SEC Chair Gary Gensler, who has faced criticism for his stringent regulatory approach towards digital assets.

On the other hand, Kamala Harris has received around $12 million from crypto sector donors, primarily from Ripple co-founder Chris Larsen, with most contributions made in XRP.

Investment in Congressional Races

The crypto industry has also heavily invested in congressional races, with groups like Fairshake, Defend American Jobs, and Protect Progress raising a total of $170 million. Furthermore, approximately $135 million has been spent on campaign advertisements aimed at increasing the number of pro-crypto lawmakers in Congress.

Fairshake’s affiliate, Defend American Jobs, allocated $40 million to support Ohio Senate candidate Bernie Moreno, a strong advocate for cryptocurrency, as he competes against incumbent Senator Sherrod Brown. Fairshake also invested $13 million in ads targeting anti-crypto Democrats, contributing to the electoral defeats of Representatives Katie Porter, Jamaal Bowman, and Cori Bush.

Criticism of Political Spending

The crypto sector's significant political spending has drawn criticism from public interest groups, who argue that it grants the industry disproportionate influence over policy decisions. Rick Claypool, research director at Public Citizen, described these contributions as “a brazen attempt” to sway U.S. democracy in favor of sector-specific interests.