What's happened
As of August 2024, cryptocurrency companies have contributed over $119 million to political campaigns, accounting for nearly half of all corporate donations in the U.S. elections. Major players like Coinbase and Ripple are leading this charge, raising concerns about their influence on political outcomes and regulatory policies.
Why it matters
What the papers say
According to Business Insider UK, the crypto industry has emerged as a major player in political donations, contributing nearly half of all corporate funds in the 2024 elections. Public Citizen's report highlights that Coinbase and Ripple are the largest contributors, raising concerns about their influence on political outcomes. The NY Post echoes these sentiments, noting that the industry's donations are aimed at electing pro-crypto candidates and relaxing regulations. Axios emphasizes the unprecedented nature of this corporate spending strategy, suggesting it could reshape how industries engage in political processes. Rick Claypool from Public Citizen critiques this trend, stating it embodies the issues stemming from the Citizens United ruling.
How we got here
The crypto industry's political spending surged following the Supreme Court's 2010 Citizens United ruling, which allowed unlimited corporate donations. This election cycle, the industry aims to support pro-crypto candidates amid increasing regulatory scrutiny.
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