- The crypto industry increased its lobbying spending in 2023 to around $19 million from January to September despite the FTX collapse. Coinbase was the top spender.
- Crypto executives like Coinbase’s CEO frequently meet directly with US lawmakers to discuss digital asset regulation, which remains uncertain in the country.
- It’s unclear how crypto lobbying efforts will impact future regulations given increased government scrutiny after FTX’s collapse and allegations against figures like Sam Bankman-Fried.
The crypto industry ramped up its lobbying efforts in 2023 despite the FTX collapse. This article explores how much money crypto firms spent trying to influence US lawmakers this year.
Crypto Lobbying Spending in 2023
According to data from transparency group Open Secrets, crypto companies spent around $19 million on lobbying activities from January to September 2023. This was about $3 million more than they spent over the same period last year.
Coinbase Leads in Lobbying Spending
Coinbase reportedly spent the most on lobbying out of all crypto firms, topping $2 million. Cryptocom, Blockchain Association, and Binance followed behind.
Before its dramatic collapse, FTX had been one of the biggest spenders on lobbying and donations to lawmakers. Its former CEO Sam Bankman-Fried is now facing criminal charges related to misusing customer funds.
Crypto Executives Meet With Lawmakers
Many crypto executives travel to Washington D.C. to meet with lawmakers directly. They aim to discuss digital asset regulation, which remains uncertain in the US. For example, Coinbase CEO Brian Armstrong has met with numerous lawmakers.
The Future of Crypto Regulation
It remains to be seen how crypto lobbying efforts may impact future digital asset regulations. The industry is seeking more clarity, but allegations against figures like Bankman-Fried have also cast skepticism on crypto’s interactions with lawmakers. Crypto regulation will likely continue to evolve in the coming years.
Conclusion
Despite the turmoil of 2022, crypto companies ramped up spending on lobbying in 2023 as they aim to influence policymakers. However, increased government scrutiny following the FTX situation may impact how lobbying unfolds going forward. The regulatory outlook for crypto in the US remains uncertain.
