Overview

Years ago, a Supreme Court ruling permitted unlimited corporate spending in U.S. elections, a fact that the crypto industry effectively leveraged this year.

Key Points

• The "Citizens United" decision opened the floodgates for corporate spending in politics.
• Critics fear that crypto firms are damaging democracy and may set a precedent for other industries.

Political Spending

The crypto sector saw $169 million amassed by the Fairshake PAC, aiming to shape legislation favorable to digital assets. Major contributors included:

• Coinbase Inc.
• Ripple Labs
• Andreessen Horowitz (a16z)

This PAC was particularly aggressive, targeting various congressional races.

Outcomes

In total, 47% of candidates supported by these PACs won their respective races, signaling significant influence over Congress. This raises concerns over the future of democratic processes given the potential overshadowing of voters' interests by corporate money.

Impacts on Democracy

The rise of political action committees like Fairshake suggests a troubling trend towards corporatization in politics that could jeopardize equitable representation.