Crypto's US$176m midterm blitz to gain allies for post-Trump era

The cryptocurrency industry has invested approximately US$176 million across over 100 midterm races this election season, as part of a long-term strategy to create a bipartisan coalition of allies in Congress. The US$2.75 trillion industry, backed by its billionaire founders, is actively supporting candidates they believe will advance its interests after President Donald Trump's tenure ends.

According to crypto political strategists and a Reuters investigation, the industry is not only seeking allies but also targeting politicians it perceives as threats. The industry's primary super political action committee, Fairshake, has spent US$196 million in the 2024 election cycle. Of the 58 candidates Fairshake supported in primaries or special elections, 53 won and will be on the ballot.

Super PACs can raise and spend unlimited funds but cannot coordinate directly with campaigns. Fairshake's ads often focus on non-crypto issues to avoid drawing attention. The industry's largest super PAC, Fairshake, has spent about US$150.8 million on the midterms, while other crypto groups have spent around US$25 million. The industry's goal is to secure clear rules for future regulation, a bill known as the Clarity Act, which is currently stalled.

In Illinois, Fairshake aggressively targeted potential Senate and congressional candidates, spending over US$10.1 million on ads against Lieutenant Governor Juliana Stratton and US$2.5 million against state Representative La Shawn Ford. Ford, despite raising only US$500,000, defeated 12 primary challengers and accused Fairshake of making defamatory statements about him in its ads.