Key facts
- Crypto PACs, including Protect Progress, have spent millions in Maryland and New York Democratic primaries.
- Protect Progress invested approximately $5.5 million to support Adrian Boafo in Maryland's 5th Congressional District.
- Rep. Ritchie Torres received about $1.5 million in support from Protect Progress in New York's 15th Congressional District.
- The Digital Asset Market CLARITY Act has moved forward in the Senate Banking Committee.
- Negotiations are ongoing for the CLARITY Act concerning illicit finance, ethics, and government official involvement.
Crypto industry political action committees are injecting millions into key Democratic primaries in Maryland and New York, aiming to shape congressional leadership as negotiations continue on the Digital Asset Market CLARITY Act. Protect Progress, an affiliate of the Fairshake network, has spent approximately $5.5 million supporting Adrian Boafo in Maryland's 5th Congressional District, where he is a strong contender to succeed Rep. Steny Hoyer. Boafo has positioned himself as a pro-crypto advocate, introducing measures for digital asset regulatory clarity during his time as a state legislator.
In New York's 15th Congressional District, Protect Progress has allocated about $1.5 million to support Rep. Ritchie Torres, a vocal proponent of cryptocurrency and co-founder of the bipartisan Congressional Crypto Caucus. Fellowship PAC, another crypto-aligned group, added roughly $300,000 in advertising for Torres. This significant political spending comes as the CLARITY Act, which aims to establish a tailored regulatory regime for crypto in the U.S., has advanced through the Senate Banking Committee with a bipartisan vote. However, further negotiations are required on provisions related to illicit finance, ethics, and government official involvement in the crypto industry before it can proceed to the full Senate floor.
The substantial outside spending has drawn criticism from some Democratic candidates in Maryland, who accuse special interests of attempting to influence the election. Despite these concerns, the crypto industry, through groups like Fairshake which holds over $191 million in cash on hand, views the current election cycle as a critical moment for establishing favorable regulatory frameworks.