Crypto Industry Intensifies Lobbying for Key Stablecoin Legislation
Crypto Industry Achieves Milestone in Washington with Increased Lobbying Efforts
Surge in Lobbying Expenditures
The cryptocurrency sector, along with its advocates, ramped up lobbying activities this year, marking a significant policy achievement for the emerging industry in Washington. Recent congressional disclosures reveal that crypto firms allocated $6.9 million in lobbying expenses during the second quarter, reflecting a 21% increase compared to the previous quarter. This uptick in spending coincided with the advancement of legislation supported by the industry, including stablecoin regulations that were recently signed into law by President Donald Trump.
- Surge in Lobbying Expenditures
- Legislative Developments and Market Reactions
- Broader Legislative Frameworks Awaiting Approval
- Comparative Lobbying Efforts
- Political Contributions and Support
- Record Fundraising for Industry Interests
- Increased Lobbying Registrations
- Trump’s Engagement with the Crypto Community
Legislative Developments and Market Reactions
As the House of Representatives prepared to vote on the new legislation, dubbed “crypto week” by Trump, Bitcoin surged to unprecedented levels, surpassing $120,000 for the first time. The newly enacted law, known as the Genius Act, establishes regulatory frameworks for US dollar-backed stablecoins, a development that proponents believe will enhance the integration of digital assets into everyday financial transactions. Additional industry-supported bills are also progressing through Congress.
Broader Legislative Frameworks Awaiting Approval
The House has successfully passed comprehensive legislation aimed at creating a structured market for digital asset trading, as well as a bill that prevents the Federal Reserve from launching its own cryptocurrency. Both pieces of legislation are now pending approval in the Senate.
Comparative Lobbying Efforts
Despite the increase in spending by crypto firms, their total lobbying expenditures remain modest by Washington standards, as lobbyists primarily concentrated on issues specific to the industry. For instance, Coinbase Global emerged as one of the top spenders, investing $970,000 and focusing on seven key issues, six of which pertained to digital assets, including the stablecoin and market structure bills.
In contrast, pharmaceutical giant Pfizer allocated $3.5 million in the same quarter, addressing a wide array of topics such as the federal budget, vaccine coverage, and intellectual property rights.
Political Contributions and Support
The crypto industry’s strategic focus was evident in the 2024 election cycle, where executives and advocates mobilized financial resources to support candidates aligned with their interests, notably Trump. Fairshake, the industry’s super political action committee, along with two affiliated super-PACs, raised an impressive $230 million, choosing to focus on congressional candidates rather than the presidential race based on their stances on cryptocurrency.
Record Fundraising for Industry Interests
This fundraising achievement is unprecedented for an organization centered on a single business sector, with the National Association of Realtors Congressional Fund being the next largest super-PAC, raising $20 million. Fairshake disclosed that it had raised $109 million since the start of the 2024 election cycle, including a significant $25 million contribution from Coinbase.
Increased Lobbying Registrations
The rise in lobbying expenditures can also be attributed to new hires in 2025, with 44 additional lobbying registrations filed with Congress, surpassing the total for all of 2024. Tether Operations, known for its widely traded stablecoin, has engaged four new lobbying firms this year, collectively compensating them with $290,000.
Trump’s Engagement with the Crypto Community
Once a skeptic of the cryptocurrency market, Trump has since embraced the sector, actively courting crypto supporters during his 2024 campaign. His financial disclosures indicate that he generated $57.7 million from token sales through a digital assets firm he co-founded with his sons in 2024.
This surge in lobbying and political engagement underscores the growing influence of the cryptocurrency industry in shaping legislative outcomes in Washington.
