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Ripple promises $25 million to Fairshake before the US elections
Ripple Labs today announced a $25 million contribution to Fairshake, a federal super PAC committed to promoting pro-crypto political candidates with a focus on the US presidential election. This contribution marks Ripple’s second $25 million donation to Fairshake, making it the super PAC’s largest donor overall with a total of $50 million invested over the past two years. This financial commitment is part of an industry-wide push to ensure that cryptocurrency and blockchain innovation become central issues in the next election cycle.
Ripple supports US cryptocurrency-friendly policy
Fairshake, funded by some of the biggest names in the cryptocurrency industry, plays a critical role in supporting congressional candidates from both major political parties who support laws that encourage crypto and technological innovation. According to Fairshake, Ripple’s contributions have significantly increased the super PAC’s financial arsenal, bringing its total funds to over $110 million.
Brad Garlinghouse, CEO of Ripple underlined the strategic importance of these contributions: “Our contributions to Fairshake are just one of the many ways that Ripple will actively invest in educating voters about the role cryptocurrencies will play in the future and the dangers of the anti-cryptocurrency stance that some politicians They’re holding on to Washington.”
Garlinghouse emphasized that Ripple’s proactive approach to funding aims to counter resistance from some politicians and regulators who have not yet aligned with the evolving digital currency landscape. He added: “Ripple will not – and the cryptocurrency industry should not – remain silent while unelected regulators actively seek to impede the innovation and economic growth enjoyed by millions of Americans. The cryptocurrency industry strongly intends to remain invested in this effort until we see significant changes.”
This political contribution strategy by Ripple comes at a time when the regulatory environment for cryptocurrencies in the United States remains complex and often controversial. Ripple itself has been involved in a legal battle with the Securities and Exchange Commission (SEC) since December 2020. The SEC has accused Ripple of conducting a $1.3 billion unregistered securities offering through the sale of XRP, an accusation Ripple denies, arguing that XRP should not be classified as a security.
Under the leadership of SEC Chairman Gary Gensler, the Commission has maintained a stringent regulatory stance, initiating numerous enforcement actions against other cryptocurrency companies, which many in the cryptocurrency industry see as an overreach. These actions have fueled a sense of urgency within the cryptocurrency industry to seek more favorable regulatory conditions through political channels.
Cryptocurrency’s influence on US politics has grown significantly, as evidenced by recent legislative efforts and policy approvals. Just last week, bipartisan legislation aimed at creating a friendlier regulatory framework for digital assets has gained traction in the House. Additionally, a controversial SEC rule that would have limited crypto companies’ access to banking services was struck down by a Senate vote, demonstrating a potential shift in congressional sentiment toward more favorable crypto regulations.
These political developments are occurring alongside support from prominent figures such as the GOP presidential frontrunner Donald Trump, who recently expressed his support for the use of digital assets and announced the acceptance of cryptocurrency donations in his campaign. This policy support could signal broader acceptance and integration of cryptocurrency technologies into government and financial systems.
The role of Fairshake and similar super PACs in influencing election results was stark. For example, in a high-profile case earlier this year, Fairshake spent $10 million on a campaign that targeted anti-crypto Rep. Katie Porter (D-California) during her Senate campaign . The campaign was seen as a decisive factor in her defeat of Adam Schiff (D-California), a more pro-crypto industry candidate.
At the time of writing, XRP was trading at $0.52951.
Featured image created with DALL·E, chart from TradingView.com