While it is gradually becoming more democratic, the public authorities are taking a close look at crypto, a very lively industry, generating billions of dollars (thus euros) and still very little regulated. Last mark of interest to date, the SEC, the body that regulates the financial markets in the United States, announced doubling the size of its crypto unit, which is not to please supporters of fully decentralized digital currencies.
Since Uncle Sam is so eager to take an interest in her, the industry has therefore decided to take the problem head on, and to invest in politics. That’s good, the political parties are currently organizing primaries to determine which candidates will participate in the “midterms”, elections during which the United States renews the assembly and half of the Senate.
Political donations from the crypto industry already exceed two-thirds of the amount spent in the 2020 election year, according to OpenSecrets, an organization that tracks lobby movements. Billionaire bitcoin fan Peter Thiel said for example paid 10 million dollars (9.47 million euros) to support JD Vance, a candidate dubbed by Donald Trump who managed to win the Republican primary in Ohio.
Crypto, the good political vein
Thiel, still him, organized a fundraiser for Republican Harriet Hageman in Wyoming. The co-CEO of crypto exchange FTX invested in a “political action committee” called American Dream Federal Action (ADFA), which paid hundreds of thousands of dollars to influence the Republican primaries in the United States. ‘Arkansas and Indiana. Blockchain billionaire favors aren’t just going to Republicans, however, as FTX’s other co-CEO has financially contributed to the campaign of a Democrat from Ohio.
If these sums represent only a small part of the fortunes invested in the elections, which across the Atlantic are often won in the millions, they are of great interest to political strategists. They see it as a new source of funding with high potential.
The Republican consulting firm IMGE notably pointed out in a report that “candidates who put the crypto industry at the center of their campaign picked up 7.3 million from pro-crypto players“.