Cryptocurrency companies spent $ 134 million on financing political campaigns in the United States in 2024, the report of the Center for Political Accounts (CPA) said. Analysts of a non -profit organization that tracks the expenditure of corporations on sponsoring election programs, note that the growing connection of cryptophirmas with the US policy is concerned with regulators, investors and society as a whole, writes RBC Crypto.
“Companies that make such contributions are perhaps striving to create a favorable regulatory environment, but these political donations even more undermine the trust of society and subject the firms to legal, reputation and business risks that cannot be ignored,” the CPA report.
Such industry participants as the Kraken and Coinbase exchanges financed politicians, while conducting litigations with regulators. And after the new administration came to power, these court cases were terminated, the authors of the report noted.
Coinbase and Kraken donated $ 1 million to the Trump Inauguration Fund, and the founder of Kraken Jesse Powell transferred $ 845 thousand personal funds in Ethereum’s cryptocurrency to the presidential pre -election fund last summer. At the end of February, the US Securities and Exchange Commission (SEC) announced that she terminated the case against Coinbase, a similar statement was made against Kraken in early March.
Although the termination of the claims is a major victory for the crypto -streaks, the main issues that caused inspections by regulators are still and should be discussed as an element of risk for potential investors and consumers, experts are sure. The main claim of the SEC was that some cryptocurrencies fall under the determination of securities, which means that they and the platforms providing access to them should be regulated according to the laws on securities.
In 2023, Fairshake, the Committee (Political Action Committee, PAC), distributing participants in sponsoring certain candidates or political programs was created to support and promote the premium politicians. Its creation was supported by Coinbase, Ripple and Andreessen Horowitz. Only the Fairshake committee allocated more than $ 40 million in 2024 to finance the politicians playing for cryptocurrencies.
In August 2024, the non -profit organization of observers Public Citizen filed a complaint against Coinbase to the Federal Election Commission. The statement stated that the exchange contributions to Fairshake and another committee violate the laws on financing elections. Despite this, later Coinbase allocated Fairshake another $ 25 million in the intermediate elections of 2026.
“The bets are too high to stand aside, and that is why we are proud of Coinbase by the fact that we can contribute,” the company said.
Such a behavior of such a large industry player is inherently risky, and Coinbase actions that delegitimize the industry and resist attempts to regulate systemic problems can bring further inspections by regulators, lawmakers, as well as individual investors and customers to the exchange and other companies, the authors of the report said.
Cryptocurrency companies such as Coinbase and Ripple were involved in political expenses that are unprecedented in their scale, trying to influence regulatory regulation in their favor, but this strategy is associated with significant reputation, legal and financial risks, the report said. According to the authors, investors and interested parties should think about whether such behavior corresponds to the principles of responsible corporate governance and long -term financial stability.
“As history shows, industries in which short -term political benefits are posed above transparency and compliance with requirements often encounter serious consequences – from repressions from regulatory authorities to a decrease in consumer confidence,” analysts warned.
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Source: Cryptocurrency

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