- Representative Mike Collins has invested over $100,000 in Ethereum (ETH) in the past two years, with purchases of up to $15,000 on January 3rd and $50,000 on January 8th, 2024.
- Collins disclosed these cryptocurrency transactions as required by the STOCK Act, which mandates reporting to avoid conflicts of interest for members of Congress.
- The purchases occurred during an Ethereum price surge, ahead of a potential government shutdown on January 19th and the start of the 2024 presidential campaign season.
Collins’ Recent ETH Purchases
According to disclosure documents filed on January 9th, 2024, Representative Collins purchased up to $15,000 worth of Ether on January 3rd, followed by another purchase of up to $50,000 on January 8th. This adds to previous ETH purchases made by Collins in 2023, bringing his total investment to around $110,000.
Requirements Under the STOCK Act
These transactions were disclosed as required under the Stop Trading on Congressional Knowledge (STOCK) Act. This act mandates members of Congress to report any stock or cryptocurrency purchases to avoid conflicts of interest. However, the STOCK Act does not prohibit lawmakers from overseeing issues related to their investments.
Market Conditions Fueling Investment
Collins’ recent buys occurred during a surge in Ethereum‘s price, which rose over 11% during the first week of January 2024. Some experts predict ETH could rally further if the SEC approves a spot Bitcoin ETF, an event anticipated by January 10th.
Government Shutdown Looms
The lawmaker’s disclosures preceded a potential government shutdown on January 19th if Congress fails to pass a new spending bill. Previous shutdowns have caused volatility in markets, adding economic uncertainty.
2024 Election and Crypto-Friendly Candidates
In addition, Republican presidential candidates will debate in Iowa on January 10th to kick off the 2024 campaign season. However, crypto-friendly candidate Vivek Ramaswamy will not participate in this initial debate against front-runners Ron DeSantis and Nikki Haley.