According to CoinDesk: Chris Larsen, the co-founder of Ripple, has become the largest individual supporter of Vice President Kamala Harris' election efforts, donating over $11 million, including $10 million in XRP, to her campaign. According to federal records and Larsen’s comments on X (formerly Twitter), the donations were directed to the Democratic super PAC, Future Forward.
Larsen, a prominent figure in the cryptocurrency sector, expressed his strong support for Harris, stating that she would bring a "new approach to tech innovation," specifically in the crypto space. His financial contributions underscore his belief that Harris will ensure that "American technology dominates the world." The $10 million XRP donation adds to his previous contribution of $1.75 million to the same PAC.
A Shift in Crypto Industry Political Donations
While Larsen's donation is significant, it is part of a broader trend within the cryptocurrency industry where top players are engaging in political contributions. The super PAC, Fairshake, has led the sector’s election involvement, with $169 million in donations from major crypto firms like Coinbase, Ripple Labs, and venture capital powerhouse Andreessen Horowitz (a16z). This makes the crypto industry one of the biggest sources of campaign funding in the 2024 elections.
Though Fairshake has aimed to balance its contributions between Democrats and Republicans, many industry leaders have personally aligned with their presidential preferences. Notably, Larsen’s support for Harris contrasts with other major crypto figures like the Winklevoss twins, Kraken co-founder Jesse Powell, and a16z’s leaders Marc Andreessen and Ben Horowitz, who have voiced support for former President Donald Trump. However, Horowitz recently stated he also intends to support Harris' campaign due to a longstanding friendship.
Super PAC Contributions and Influence
Super PACs have become a crucial tool for crypto industry leaders to support their preferred candidates, thanks to the Supreme Court’s 2010 Citizens United decision, which allows for unlimited contributions to PACs. These PACs can fund independent expenditures like advertising without coordinating directly with the candidates’ campaigns. This gives wealthy donors like Larsen a powerful avenue to influence the outcome of elections.
Despite Ripple's CEO Brad Garlinghouse's previous financial support for Republican causes, including efforts to defeat crypto critic Sen. Elizabeth Warren, Larsen's backing of Harris marks a strong alignment with Democratic interests in this election cycle. As the 2024 election approaches, the cryptocurrency sector's financial involvement is likely to remain a focal point in shaping the future of U.S. policy toward blockchain and digital assets.
