According to a report from the Center for Political Accounting (CPA), the cryptocurrency company spent more than $ 134 million in US elections in 2024, raising concerns about the potential risk of political influence and regulatory stability.
According to a report published by the Center for Political Accountability (CPA), as the connection between cryptocurrency and US politics increases, new concerns about regulators, investors and wider financial systems are raised.
The Cryptocurrency company has paid $ 134 million in the US elections in the US elections in the US election in the US election.
“A company that contributes to this can seek a favorable regulatory environment, but these political donations cannot further erose public trust and expose the company to legal, reputation and business risks.”
Cryptocurrency regulations have been central for the last week to create strategic Bitcoin (BTC) reserve forces ahead of the White House cryptocurrency summit on March 7 in accordance with US President Donald Trump’s historical administrative order last week.
Source: Politicalaccounability.net
Fairshake, a political behavioral committee (PAC) supported by major encryption companies, including Coinbase, Ripple and Andressen Horowitz, was one of the largest contributors to spend more than $ 40 million to support candidates who coincide with professional crypto policies.
Fairshake and Conciviliated PACs have been active in major parliamentary races and attempted to form laws that are favorable for digital assets.
The report said, “The industry continues to influence through the vast contribution and opaque financial manipulation, which grows as the risk of instability, regulatory backlash and public distrust increases.”
Donation of Fair Sheikh. Source: Politicalaccounability.net
It was inconspicuous by the regulators that encryption money flowed into politics. In August 2024, the public citizens of the consumer advocacy group complained to the Federal Election Commission (FEC), and claimed that the corporate donation and the council leader fund for Coinbase’s Fairshake violated the federal election law due to the federal contractor.
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Coinbase promised an additional $ 25 million to Fairshake for the midterm election cycle in 2026.
Coinbase commits $ 25 million for FairShake. Source: Coin Base
In the October 2024 blog post, “This is why we are proud of our role as our role because the steak is so high.
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Crypto’s political donation can be needed for regulatory clarity.
Despite the risks emphasized by the report, some regulators are seeing donations needed to develop more innovative -friendly regulations.
According to Anndy Lian, according to the author and the government’s blockchain expert, “As a person who is deeply involved in encryption, this expenditure is considered decisive for regulatory clarity, stability and growth.
“As you can see from the pro -Crypto candidate, it seems to increase the trust of investors by reducing uncertainty, as it increases the market sentiment like Bitcoin’s election.”
Nevertheless, the risks, including “regulatory capture”, in which large corporations’ interests prioritize, can suggest challenges and erect encryption investor trust. Nevertheless, this is part of the organic growth of the emerging crypto industry, Lian added.
“The transparency and decentralization of the encryption community can ease this to ensure fair regulations. There is room for controversy, but I do not know that it is not a problem. However, public backlash can make politics unstable if it is considered to be a purchase favor, but it is not a problem to see it as an industry maturity. ”
The debate about the role of encryption in politics follows the famous collapse of Libra token, a meme approved by Javier Milei, Argentina. The insiders of the project produced more than $ 110 million in liquidity due to rugging, causing 94%of the price collapse in a few hours and reduced $ 4 billion.
According to a CPA report, more than 100 government fraud complaints have been held in Argentina since Libra Memecoin’s scandal, and shows the danger of the administration that promotes “unknown security of all kinds.”
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