In a move to advocate for pro-crypto policies and politicians, Ripple has made a significant contribution of $25 million to the Fairshake super PAC. This decision aligns with an industry-wide effort to promote fair and balanced regulation within the cryptocurrency sector. Ripple’s choice to support Fairshake comes in the midst of an ongoing legal battle with regulatory bodies such as the Securities and Exchange Commission (SEC). The lawsuit filed by the SEC has pushed Ripple to take a more proactive approach in advocating for policies that support innovation and market fairness within the industry.
Ripple has criticized the SEC’s strategy of attempting to regulate the cryptocurrency industry through enforcement, stating that it has proven to be ineffective. The company believes that comprehensive legislation is necessary to ensure a bright future for American innovation, competitiveness, and expansion. While Congress is making progress in this regard, the United States still lags behind other nations that have embraced the asset class and its underlying technology. Ripple has emphasized the importance of the 2024 elections for the industry, highlighting the need for candidates who support technological innovation and policies that foster consumer protection and market fairness.
Ripple CEO Brad Garlinghouse has emphasized the company’s commitment to educating voters about the role of cryptocurrency in the future and the dangers of anti-crypto policies. He stated, “Our contributions to Fairshake are just one of the many ways Ripple will actively invest in educating voters on the role crypto will play in the future and the dangers of the anti-crypto stance some policymakers are clinging to in Washington.” Garlinghouse also stressed the importance of the industry’s voice in advocating against unelected regulators who seek to stifle progress and economic advancement that benefit millions of Americans.
This recent contribution of $25 million to Fairshake marks a significant rise in Ripple’s political activity. Just six months prior, the company had donated $20 million to the super PAC, which has already used $11.3 million for federal elections. According to FEC records, Ripple had only contributed $500,000 during the 2022 election cycle. The company’s contributions make up almost half of the $100 million-plus raised by Fairshake from major players in the cryptocurrency sector, including Coinbase, Gemini exchanges, Andreessen Horowitz, and ARK Invest.
Ripple has been embroiled in a legal dispute with the SEC for several years, stemming from accusations that the company unlawfully raised $1.3 billion through the sale of XRP, which the SEC deemed an unregistered security. Despite Judge Torres ruling that XRP is not a security in programmatic sales, the SEC recently filed a remedies brief seeking fines against Ripple. The blockchain company argues that fines should not exceed $10 million, citing a lack of fraudulent intent. Both parties are awaiting a final ruling in the ongoing legal battle.
Ripple’s contribution to Fairshake and its advocacy for pro-crypto policies highlight the importance of political engagement within the cryptocurrency industry. By supporting organizations like Fairshake and actively participating in shaping legislation, companies like Ripple can help create a regulatory environment that fosters innovation, consumer protection, and market fairness. It is crucial for industry players to have a voice in policymaking processes to ensure a bright future for cryptocurrency and blockchain technology.