Campaigning for Crypto: Big Bucks vs. Big Guns

2024 is shaping up to be the biggest crypto election season yet, with both sides flexing their muscles as of late.

In recent news: Fairshake, a pro-crypto political action committee (PAC), announced that it raised a total of $78 million from its backers to support crypto and blockchain-friendly candidates in the 2024 U.S. presidential election. Supporters include Coinbase and its founder Brain Armstrong, Circle, Ripple, a16z, Kraken, Gemini founders Cameron and Tyler Winklevoss, and Cathie Wood's Ark Invest.

• Sam who? The U.S. crypto industry's donation drive comes as Washington D.C. feels the absence of the virtue-signaling FTX founder SBF and his ~$40 million worth of political donations through 2022.

On the counter: Senator Elizabeth Warren, who at one point this year embraced the idea of building an “anti-crypto army,” sent letters to pro-crypto lobbying groups (and Coinbase) with accusations of undermining Congress' attempts to crack down on illicit crypto use and cozying up to ex-law enforcement officials in a "revolving door" scandal.

Her recent letter to industry groups like the Blockchain Association is a shot across the bow.

• Catching you up: Last week, Warren’s bill on anti-money laundering in crypto found support in Congress and gained momentum with new sponsors, with the crypto industry both fearing it could be a significant threat to their businesses and at the same time arguing it's unlikely to ever pass.

Crypto clap back: As one can expect, crypto advocates – heck, even Twitter Community Notes – are calling out Warren in bunches, claiming her accusations are baseless, hypocritical, and/or used as fear-mongering.

Bottom Line: Crypto will be a big hot-button issue in the 2024 elections, with Big Money and Big Tech squaring off against regulatory hawks like Warren and fretting bank associations. Expect more campaign cash, policy proposals, and fiery rhetoric in the months ahead.