By Hannah Lang
(Reuters) - The cryptocurrency industry, including heavyweights like Coinbase (NASDAQ:COIN) and Ripple, spent more than $119 million backing pro-crypto U.S. congressional candidates, hoping to boost those who would pass crypto-friendly bills to promote digital assets.
The effort succeeded on Tuesday, with many of the industry's chosen candidates winning their races, potentially ushering in a Congress poised to champion crypto like never before.
Much of the sector's spending in 2024 came from supercharged political action committees, which can spend unlimited amounts of money. Fairshake, one of the most prominent PACs dedicated to supporting candidates with favorable views of crypto, spent more than $40 million during this election cycle, according to OpenSecrets.
The spending data comes via both OpenSecrets and the Federal Election Commission.
Here are the races where crypto has spent the most money, and whether the industry was ultimately successful in boosting their preferred candidate:
1. Ohio Senate: (R) Bernie Moreno vs. (D) Sherrod Brown (incumbent)
The cryptocurrency industry spent by far the most amount of money attempting to unseat current Senate Banking Committee Chair Sherrod Brown in this year's elections, doling out $40.2 million on behalf of Brown's opponent, Republican Bernie Moreno.
Moreno defeated Brown on Tuesday, Edison Research projected, in one of the most expensive Senate races in history, ousting one of crypto's biggest foes in Congress.
Brown has been skeptical of cryptocurrencies, expressing particular concern about their use in financing groups deemed by the U.S. to be state sponsors of terrorism. Meanwhile, Moreno started a blockchain-based company and has said he will "lead the fight to defend crypto" in the Senate.
Moreno enjoyed contributions from Defend American Jobs - an affiliate of Fairshake - as well as Coinbase CEO Brian Armstrong and Gemini co-founders Cameron and Tyler Winklevoss.
2. Michigan Senate: (R) Mike Rogers (NYSE:ROG) vs. (D) Elissa Slotkin
Crypto spent $10 million supporting current U.S. Representative Elissa Slotkin of Michigan in her race for a vacated Senate seat, with contributions coming from Fairshake affiliate Protect Progress as well as Chris Larsen, the executive chairman of Ripple. Slotkin narrowly won her race, according to Edison Research.
In Congress, Slotkin voted in favor of repealing a crypto-related accounting bulletin from the Securities and Exchange Commission, as well as a bill promulgated by Republican House Financial Services Committee Chair Patrick McHenry that would seek to develop a regulatory framework for crypto.
3. Arizona Senate: (R) Kari Lake vs. (D) Ruben Gallego
Protect Progress, along with individual donors like Coinbase's Armstrong and Andreessen Horowitz general partners Chris Dixon and Ben Horowitz, spent $10 million supporting current U.S. Representative Ruben Gallego's campaign for an Arizona Senate seat.
Gallego voted along with Slotkin in favor of legislation that the crypto industry supported.
The race has not been called yet.
4. Massachusetts Senate: (R) John Deaton vs. (D) Elizabeth Warren (incumbent)
The crypto industry spent $4.2 million propping up Massachusetts Senate candidate John Deaton in his race against Senator Elizabeth Warren, who has clashed with digital assets leaders numerous times. Warren, the incumbent, won re-election, Edison Research projects.
Warren has called for applying stringent anti-money laundering standards to crypto, and has said crypto businesses are reticent to follow the same rules that other financial firms like banks comply with.
With Brown having lost his Senate race in Ohio, Warren could become one of the top Democrats on the Senate Banking Committee next year.
5. West Virginia Senate: (R) Jim Justice vs. (D) Glenn Elliott
Crypto spent $3 million supporting former West Virginia governor in his quest for Senate, led by Defend American Jobs, Armstrong, and the Coinbase Inc Innovation PAC. Justice won the Senate seat on Tuesday, Edison Research projects.
On his website, Justice said earlier this year that the U.S. has "a tremendous opportunity" with crypto and blockchain innovation, and that he supports a regulatory framework for digital assets that "allows entrepreneurs to innovate, flourish and achieve their full potential."
6. Indiana Senate: (R) Jim Banks vs. (D) Valerie McCray
Individual donors like Armstrong, Horowitz and Dixon along with the Coinbase Inc Innovation PAC and Defend American Jobs in the primary campaign spent $3 million to back Republican Indiana Senate candidate and current congressman Jim Banks, who won the Senate seat, according to Edison Research.
Banks supported legislation backed by the crypto industry in Congress.
7. California 45th Congressional District: (R) Michelle Steel (incumbent) vs. (D) Derek Tran
The crypto industry spent $2.8 million supporting Representative Michelle Steel's re-election campaign, led by Fairshake, Cameron and Tyler Winklevoss and the Coinbase Inc Innovation PAC.
Steel voted in favor of legislation to repeal the U.S. Securities and Exchange Commission's accounting bulletin and create a regulatory framework for cryptocurrencies.
The race has not been called yet.
8. Alabama 2nd Congressional District: (R) Caroleene Dobson vs. (D) Shomari Figures
Crypto has spent $2.6 million backing Shomari Figures' congressional race for a brand new district in Alabama, a race that he won by a wide margin, according to a projection from Edison Research. That $2.6 million includes contributions from Protect Progress, the Winklevoss twins, Armstrong and the Coinbase Inc Innovation PAC.
Figures signed onto a letter from Democrats in July asking the Democratic National Committee to soften its stance on crypto and include crypto-supportive language in the party's platform. On his website, Figures said that he would embrace digital assets to spur innovation and technological advancement.
9. North Carolina 1st Congressional District: (R) Laurie Buckhout vs. (D) Donald Davis (incumbent)
Individual donors like Armstrong, Larsen and the Winklevoss twins along with Fairshake spent $2.3 million in the primary campaign on behalf of Representative Donald Davis' re-election campaign, which Davis won, Edison Research projects.
Davis supported legislation backed by the crypto industry in Congress.
10. Colorado 8th Congressional District: (R) Gabe Evans vs. (D) Yadira Caraveo (incumbent)
The crypto industry spent $2.3 million to back Yadira Caraveo's congressional campaign in Colorado, led by contributions from Fairshake, Armstrong, Dixon and Horowitz.
Caraveo is the ranking member on the House Agriculture Committee's subcommittee on commodity markets, digital assets and rural development and has called for a regulatory framework for digital assets.
The race has not been called yet.