In the past two months, the name Fairshake has been frequently mentioned in news about crypto organizations donating to political action committees (PACs). According to official data from the Federal Election Commission (FEC), the crypto industry-backed Super PAC, Fairshake, received a total of $92.87 million in donations and spent $40.65 million from January 1, 2023, to April 30, 2024. Major donors include top companies in the crypto industry such as Coinbase, Ripple Labs, and Andreessen Horowitz (a16z).
Due to delayed filings with the FEC, Bloomberg estimates, based on FEC data and public news, that as of May 31, Fairshake and its affiliated Super PACs, Project Progress and Defend American Jobs, have raised $135 million in this election cycle. Overall, including Fairshake, cryptocurrency donors have contributed over $146 million to the FEC since 2023.
Fairshake can be considered one of the main fronts and windows through which donations are made to influence the US election. While many other crypto-friendly PACs have registered with the FEC, Fairshake ranks at the top in terms of fundraising amounts and recent developments.
In this article, PANews will provide an overview of Fairshake and its impact on the elections.
What is the Super PAC Fairshake?
In the United States, a political action committee (PAC) is a tax-exempt 527 organization that pools campaign contributions from members and donates these funds to electoral activities that support or oppose candidates, ballot measures, or related legislation.
Super PACs, formally known as “independent expenditure-only committees,” differ from traditional PACs in that they can raise unlimited funds from individuals, corporations, unions, and other groups for explicit activities that support or oppose political candidates, such as advertising. However, they are not allowed to coordinate or directly donate to candidate campaigns or political parties.
Currently, there are at least 12 active crypto industry-supported PACs or Super PACs in the US election arena, with Fairshake standing out in terms of fundraising amounts.
According to Fairshake’s website, it is a Super PAC that “supports candidates committed to making America the home of innovators who are building the next generation of the internet.” Overall, it supports politicians who advocate for policies favorable to the cryptocurrency industry.
The organization registered with the FEC in 2023 and is based in Florida. Fairshake has already received financial support from some of the most influential companies and executives in the digital currency field, such as Coinbase CEO Brian Armstrong. As a Super PAC, Fairshake’s donor list must be disclosed in regular reports submitted to the FEC.
The OpenSecrets website displays all institutional donors who have contributed to Fairshake in this election cycle. However, the full scope of Fairshake’s fundraising is not yet clear due to Super PAC disclosure delays.
Fairshake’s major donors currently include Coinbase, Ripple Labs, and Andreessen Horowitz, among other well-known institutions in the crypto industry.
Which candidates does Fairshake support?
During the 2024 primary season, Fairshake was mainly involved in the campaign for a US Senate seat in California. Fairshake spent over $10 million on independent expenditures opposing one of the Democratic candidates, Katie Porter. Fairshake reportedly believed that Katie Porter could potentially be an ally of Massachusetts Democratic Senator Elizabeth Warren, who is critical of cryptocurrency platforms. Ultimately, Katie Porter did not make it to the general election this fall.
In addition, Fairshake spokesperson Josh Vlasto stated in March that the Super PAC plans to be active in other US Senate races, particularly in the Democratic primaries in Maryland and Michigan, as well as the general elections in Ohio and Montana.
The biggest beneficiaries of Fairshake’s expenditures also include Congressman Patrick McHenry (Republican, North Carolina), Chairman of the House Financial Services Committee, Congressman Dusty Johnson (Republican, South Dakota), and Congressman Josh Gottheimer (Democrat, New Jersey).
According to a report by Public Citizen, in the six primaries of the 2024 election cycle in which Fairshake and its affiliated PACs were involved, only one cryptocurrency-supported candidate lost, boasting a win rate of over 80%.
Fairshake’s advertisements do not explicitly focus on cryptocurrency regulation. Many ads feature images of candidates and their districts, accompanied by biographical information. The ads describe the candidates as bipartisan problem solvers primarily focused on economic issues. However, almost all ads mention the candidates’ commitment to “attracting future jobs” and building the “next generation of the internet” in the United States.
Information shows that Fairshake spokesperson Josh Vlasto was formerly the Chief of Staff for New York Governor Andrew Cuomo and a senior aide to Senator Chuck Schumer (D-N.Y.). Vlasto has stated, “We will have enough resources to influence campaigns at all levels and the makeup of institutions and will strategically leverage these assets to maximize their impact, thus building a sustainable, bipartisan cryptocurrency and blockchain alliance.”
Now, as both major US political parties are gradually becoming more crypto-friendly, their attitudes towards the cryptocurrency industry are considered to have further influence on voters’ attitudes. Overall, as Fairshake’s fundraising activities become more frequent, its influence is worth further attention.
