Crypto Giants Bet Big on Republicans Amid Regulatory Limbo

The crypto industry has poured over $206 million into Republican and pro-crypto candidates ahead of the November midterm elections, despite the recent failure of the Clarity Act. This legislation aimed to clarify regulations for digital assets and provide investor protections.

Despite the setback in Congress, the sector remains optimistic about its influence. Crypto firms and entrepreneurs have continued to donate millions to Republican and pro-crypto candidates, with some billionaires mobilizing to fund the party's electoral push.

The Clarity Act stalled in the Senate after 49 votes in favor of advancing the bill and 50 against, with no Democrat backing it. The industry has been critical of Trump's handling of crypto regulations, but his financial disclosure revealing $1.4 billion in revenue from his crypto businesses during the first year of his second term has also raised concerns.

Coinbase CEO Brian Armstrong stated that 'We can't wait on Congress anymore' and expects the SEC and CFTC to create clear rules under existing authority. The industry is looking for shortcuts, as both agencies have dismissed or shelved dozens of lawsuits against crypto companies alleging market-law violations since Trump's return to the White House.