TLDR
- Ripple has pledged to donate $25 million annually to pro-cryptocurrency political action committee (PAC) Fairshake, as long as the crypto industry continues to face opposition.
- The new donation brings Fairshake’s funds on hand to $110 million, with nearly half of that amount coming from Ripple.
- Ripple’s increased political engagement comes at a time when the crypto industry is gaining momentum in Washington, D.C., with the recent passage of the Financial Innovation and Technology for the 21st Century Act (FIT 21) in the House of Representatives.
- Ripple CEO Brad Garlinghouse emphasizes the need to combat the negative sentiment towards the crypto industry and to elect leaders who understand the potential of cryptocurrencies and support innovation-forward policies.
- The crypto industry has stepped up its political engagement, spending millions on lobbying and political contributions, with Ripple calling the 2024 elections “the most consequential in crypto’s history.”
Ripple, a leading blockchain payments company, has announced a significant commitment to support the crypto industry’s political efforts by pledging to donate $25 million annually to Fairshake, a pro-cryptocurrency political action committee (PAC).
This latest donation, which follows a previous $25 million contribution in 2023, brings Fairshake’s total funds on hand to $110 million, with nearly half of that amount coming from Ripple.
The increased political engagement from Ripple and other major players in the crypto industry comes at a time when the sector is enjoying new tailwinds in Washington, D.C.
The recent passage of the Financial Innovation and Technology for the 21st Century Act (FIT 21) in the House of Representatives, with bipartisan support, marks a significant step towards creating a comprehensive federal framework for digital assets.
The bill aims to provide regulatory certainty for the crypto industry while ensuring consumer protections.
However, the passage of FIT 21 was not without controversy. Securities and Exchange Commission (SEC) Chair Gary Gensler expressed concerns that the bill would undermine the agency’s work and create new regulatory gaps, putting investors and capital markets at risk.
President Joe Biden also issued a policy statement opposing the bill in its current form, citing insufficient protections for consumers and investors.
Despite the opposition, the crypto industry remains determined to push for favorable policies and politicians.
Ripple CEO Brad Garlinghouse emphasized the need to combat the negative sentiment towards the industry, stating,
“Ripple will not — and the crypto industry should not — keep quiet while unelected regulators actively seek to impede innovation and economic growth that millions of Americans utilize.”
Garlinghouse also highlighted the importance of electing leaders who understand the potential of cryptocurrencies and support innovation-forward policies.
He called the 2024 elections “the most consequential in crypto’s history” and vowed to continue Ripple’s annual $25 million donations to Fairshake as long as there are crypto naysayers slandering the industry.
The crypto industry’s increased political engagement extends beyond Ripple’s contributions to Fairshake.
Other major players, such as Coinbase, Kraken, and venture capital firms like Andreessen Horowitz and Jump Crypto, have also thrown their support behind the PAC. The industry has spent millions on lobbying efforts, particularly in relation to the FIT 21 bill.
As the 2024 election cycle heats up, the crypto industry’s political influence is expected to grow.
With a sizable war chest and a clear focus on promoting pro-crypto policies and candidates, the industry aims to shape the future regulatory landscape and gain greater mainstream acceptance.
