Cryptocurrency Industry Ramps up Lobbying Efforts in the US, Spending Surges by 1,386% Since 2017

From 2017, US funding for lobbying concerning cryptocurrencies has gone up tremendously by 1,386%. The rise can be attributable to prominent cryptocurrency

United States cryptocurrency lobbying expenditures have seen a remarkable 1,386% increase since 2017, owing largely to the ramping up of campaigning efforts by prominent cryptocurrency firms, a recent study has revealed.

The research, presented on September 5 by Social Capital Markets, shows that the industry has been drastically increasing its lobbying costs, particularly over the last two years.

Coinbase, the renowned cryptocurrency exchange, increased its lobbying expenditures from $80,000 in 2017 to $2.86 million by the year 2023, a 3,475% birth over a seven-year period.

Similarly, Ripple Labs boosted its lobbying budget greatly, rising from $50,000 in 2017 to $940,000 this year—a 1,780% rise.

Another big individual, Binance.US, boosted its expenditure from $60,000 to $1.2 million, which constitutes a 656% increase.

Large contributions are also forthcoming from decentralized trading platform Uniswap and stablecoin supplier Tether. In 2023, Tether invested $1.2 million with Uniswap $280,000 in lobbying.

Fintech giant Block Inc. directed $1.7 million towards lobbying efforts.

These companies face ongoing legal and regulatory challenges. The SEC and Ripple have been entangled in a prolonged court battle involving the XRP token’s sale.

Binance.US had been running as an unauthorized exchange and broker, leading to disputes with the SEC. Moreover, the Securities and Exchange Board is also prosecuting Coinbase for allegedly marketing securities that have not been licensed.

The first the supply in the United States Constitution grants individuals and organizations the ability to influence political outcomes by lobbying candidates for office during elections.

Due to their legal security, cryptocurrency companies are finally poised to push for improved regulatory structures to replace the hazy ones that currently oversee digital assets.

The total amount spent on crypto lobbying since 2017 has advanced to $131.91 million, with the last two years making up nearly 60% of this total.

At the top of the list is Apollo Global Management, an essential blockchain investor that made investments of $28.7 million over the last seven years and $7.56 million in 2023.

Also, the Managed Funds Association has been active, contributing $2.86 million in 2023 and $21.9 million entirely since 2017.

The rapid rise in lobbying expenses regarding cryptocurrencies highlights the expanding impact of the industry on U.S. law. As the demand for clearer governing structures remains the main focus, big companies continue to make substantial expenditures in advocacy.

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