A well-funded political action committee (PAC) backed by prominent figures in the cryptocurrency industry has set its sights on key Senate races, with the goal of potentially shifting the balance of power in Congress.
The PAC, called Fairshake, recently spent over $10 million successfully opposing a Democratic U.S. Senate candidate in California and now plans to concentrate its efforts on races in Ohio, Montana, Maryland, and Michigan.
Fairshake, which has amassed a staggering $85 million in funding, primarily from major crypto players Coinbase, Ripple Labs, and Andreessen Horowitz, intends to allocate resources to the general elections in Ohio and Montana, as well as the Democratic primaries in Maryland and Michigan.
These states are particularly significant due to vulnerable Democratic senators up for re-election, who have previously expressed skepticism or criticism towards cryptocurrencies.
Fairshake Targets Anti-Crypto Senators
In Ohio, Senator Sherrod Brown proposed a nationwide ban on cryptocurrencies in December 2022 following FTX’s collapse.
Similarly, Montana’s Senator John Tester has been dismissive of crypto, stating that he sees no reason for its existence.
Despite this, Fairshake has not explicitly announced opposition to these senators but rather indicated its intention to participate in their races.
This suggests that Brown and Tester could potentially earn the PAC’s support if they adopt more crypto-friendly positions.
Fairshake has not disclosed the timeline for deciding which candidates to endorse in the Ohio and Montana races but emphasized that it would evaluate various factors, including a candidate’s stance on crypto, viability, election significance, and the potential impact of the PAC’s involvement.
In Michigan, Fairshake will engage in the Democratic Senate primary set for August, where congresswoman Elissa Slotkin currently leads the race.
Although Slotkin has not publicly discussed crypto extensively, she has acknowledged the need for politicians to disclose their cryptocurrency trades.
Her opponents include actor Hill Harper, who previously launched an app to encourage people of color to engage with cryptocurrencies.
In Maryland’s May Democratic Senate primary, Fairshake will participate as well, with candidates David Trone, co-founder of Total Wine, and Angela Ashbrooks, a local politician, facing off.
Neither candidate has prominently addressed crypto on their campaign websites or made public statements on the subject.
Crypto PAC Could Significantly Impact US Power Dynamics
With Democrats holding a narrow 51-49 majority in the Senate, any shifts in these four races could significantly impact the power dynamics in Washington.
Leveraging substantial funding from the crypto industry, Fairshake aims to ensure that candidates elected in November will advocate for the establishment and adoption of much-needed regulations for the cryptocurrency industry.
As reported, approximately 73% of US voters believe that US presidential candidates should have an informed perspective on innovative technologies like artificial intelligence (AI) and cryptocurrency.
Likewise, a recent report from Coinbase claimed that California voters who own cryptocurrencies are expected to have a significant impact on the 2024 elections.
It said that 78% of crypto holders in the state believe that policymakers should support “new, innovative, and disruptive technologies” and express their intention to vote for candidates who align with these views.
