Crypto Industry Sees Success in U.S. Elections
The cryptocurrency sector achieved significant returns from its investment in the U.S. congressional elections, with most of the candidates it supported winning their races. The industry, including Coinbase (NASDAQ:COIN) and Ripple, spent over $119 million on pro-crypto congressional candidates who are expected to support favorable regulations for digital assets.
The most notable victory came in Ohio, where the sector invested $40.2 million to support Republican Bernie Moreno against incumbent Democrat Sherrod Brown for a Senate seat. Moreno, who has a background in blockchain technology, defeated Brown, a critic of cryptocurrencies. This victory is considered significant as Brown has expressed concerns about the use of cryptocurrencies in illegal activities, while Moreno has committed to advocating for the crypto industry.
In Michigan, the sector spent $10 million on the campaign of Elissa Slotkin, who previously supported crypto-friendly legislation, and Slotkin won her race. Slotkin had earlier backed a bill aimed at repealing an accounting bulletin from the Securities and Exchange Commission and creating a regulatory framework for digital assets.
The crypto industry also supported Ruben Gallego’s campaign for an Arizona Senate seat with a $10 million investment. Like Slotkin, Gallego had voted in favor of crypto-friendly legislation. The outcome of this race has yet to be determined.
Despite the sector's efforts in Massachusetts, Senator Elizabeth Warren, a well-known skeptic of digital assets, was re-elected against John Deaton, who received $4.2 million in support from the crypto sector. Warren's victory may allow her to play a significant role in the Senate Banking Committee next year.
In West Virginia, the sector's $3 million support helped former Governor Jim Justice win a Senate seat. Justice expressed optimism about the potential of crypto and blockchain innovation and supports a regulatory framework that promotes entrepreneurship.
In Indiana, pro-crypto Republican candidate Jim Banks won a Senate seat with the sector's $3 million backing. Banks supports legislation aligned with the interests of the crypto industry.
In the House of Representatives, Michelle Steel's re-election campaign in California’s 45th Congressional District received $2.8 million from the industry due to her pro-crypto regulatory stance, which aligns with the sector's interests. The outcome of this race is still pending.
In Alabama’s new 2nd Congressional District, Shomari Figures won his race with $2.6 million in support from the crypto industry. Figures advocated for a more crypto-friendly approach within the Democratic Party.
Donald Davis, the current representative of North Carolina’s 1st Congressional District, was re-elected with a $2.3 million boost from crypto supporters after supporting pro-crypto legislation.
Finally, in Colorado’s 8th Congressional District, Yadira Caraveo, who called for digital asset regulation, is awaiting the results of her campaign, which received $2.3 million from the crypto industry.
Overall, the strategic spending of the cryptocurrency sector in these congressional races may lead to a Congress that is more open to crypto and blockchain innovation.