Coinbase is ‘prepared to work’ with either Harris or Trump presidency

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As a seasoned researcher with a keen interest in the intersection of politics and technology, I find the recent moves by Coinbase to be quite intriguing. Having closely followed the crypto market for years, it’s clear that the industry is maturing, and its influence on political landscapes is becoming more pronounced.

Coinbase, a significant collaborator with the political action committee Fairshake and the Stand With Crypto political movement, expressed positivity regarding potential pro-cryptocurrency laws as the new Congress convenes.

In a shareholder update published on October 30, 2024, the company expressed their readiness to collaborate with whichever U.S. administration takes office, be it one led by Democratic Vice President Kamala Harris or Republican nominee Donald Trump following the presidential election.

Coinbase announced that they intend to work towards achieving more definite guidelines for their sector, as a fresh term of Congress commences in January 2025.

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As an analyst, I’ve noticed a notable change in the stance of both presidential candidates, as well as politicians across the political spectrum, regarding cryptocurrencies. This represents a substantial shift from previous years, according to Coinbase. To put it another way, there seems to be a growing acceptance and favorable view towards digital currencies among our political leaders today.

“This is evident in the recent bipartisan passage of pro-crypto legislation, despite opposition from the White House, demonstrating that support for crypto is gaining momentum.”

In the shareholder correspondence, there was a resonance with the remarks made by Coinbase CEO Brian Armstrong during the company’s second-quarter conference call. He expressed his growing optimism that, regardless of political affiliation, the incoming administration would take a positive stance towards cryptocurrency.

Supporting ‘pro-crypto’ candidates in 2024

Prior to our third-quarter earnings discussion, Armstrong revealed on X that Coinbase plans to add another $25 million to Fairshake, following initial donations of $25 million in May and over $20 million in 2023. Notably, the CEO has also personally contributed $1 million to the PAC.

As per Armstrong’s statement, Fairshake intends to allocate funds towards supporting candidates in the 2026 midterm elections who are favorable towards cryptocurrency. The outcome of the 2024 election as to who will control the House of Representatives and the Senate remains uncertain.

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Instead of primarily backing Vice President Harris or former President Trump, Fairshake and other cryptocurrency-backed Political Action Committees (PACs) have been investing in media buys for candidates vying for House and Senate seats. Federal Election Commission records indicate that Armstrong has also personally contributed funds to support various political candidates, such as Texas Senator Ted Cruz, Ohio Senate aspirant Bernie Moreno, and Trump’s vice presidential nominee JD Vance.

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2024-10-31 01:07