The crypto industry has spent years convincing Washington that it deserves a seat at the table. Now, as Congress inches toward passing the CLARITY Act, a long-awaited crypto market structure bill, it seems it finally has one.
The question is no longer whether lawmakers are listening to digital asset advocates, but whether the crypto lobby’s deep pockets and influence in election campaigns will be enough to get the legislation over the line.
That debate comes as Senate negotiators work toward a potential floor vote before Congress breaks for its August recess.
In a June 25 thread on X, Kristin Smith, president of the Solana Policy Institute and former chief executive of the Blockchain Association, argued that crypto’s advocacy operation is “the strongest and most sophisticated it has ever been.”
She pointed to bipartisan negotiations, daily meetings with lawmakers, and what she described as “a political operation supporting champions that’s winning in an overwhelming fashion” to illustrate her point.
Source: Kristin Smith
According to a report from consumer advocacy organization Public Citizen, that “political operation” has spent $189 million so far to influence the 2026 midterm elections. Crypto’s opponents see the war chest as an illegitimate attempt to buy influence and votes, while the industry argues it’s a much-needed corrective to the anti-crypto forces that have dominated politics since 2022.
Colin McLaren, the Solana Policy Institute’s head of government relations, told Cointelegraph the industry’s political infrastructure did not emerge overnight.
“Fairshake, Cedar Innovation Foundation, Stand With Crypto, and the Blockchain Association built the political infrastructure that’s moving pro-crypto legislation forward,” he said.
“These groups, alongside the advocacy of companies and projects, created and supported allies in Congress, giving them the resources and cover to legislate and lead without fear of electoral reprisal from the anti-crypto army.”
The tide begins to turn on CLARITY
There are signs that momentum to pass the CLARITY Act is building.
On July 3, the Major County Sheriffs of America (MCSA), a national association representing elected sheriffs from some of the largest counties in the US, announced that it had shifted from opposing the CLARITY Act to a neutral position following discussions over Section 604, also known as the Blockchain Regulatory Certainty Act. As Coinbase chief executive Brian Armstrong commented on X, that development is “huge.”
Earlier that same day, the National Organization of Black Law Enforcement Executives (NOBLE) became the first major law enforcement body to endorse the bill.
But the BRCA, which includes protections for developers decentralized smart contracts, remains a sticking point. Four other attorneys and law enforcement groups representing 70,000 members between them, warned the Acting U.S. Attorney General in late June that the bill’s “broad exemptions could create gaps in oversight and accountability that sophisticated criminal actors may exploit.”
So the race is far from won.
MCSA letter to Senate Banking Leaders. Source: Eleanor Terrett
Related: Senate leaders push for July passage of CLARITY Act
How is the crypto lobby campaigning?
Smith’s comments spotlight how closely the industry’s political organization has become intertwined with its legislative ambitions. No organization better exemplifies that shift than Fairshake, the crypto-backed political action committee (PAC), funded by companies like Coinbase, Ripple and Andreessen Horowitz.
A PAC is an organization that raises and spends money to support or oppose political candidates and causes, and can pool contributions from multiple donors to fund campaign advertising and other political activity, subject to federal election rules.
Political Action Committees (PACs). Source: Federal Election Commission
Throughout the 2026 US congressional primary election cycle, Fairshake and affiliated PACs have spent tens of millions of dollars supporting candidates in various races who are viewed as favorable to digital assets while opposing others seen as hostile to the sector.
In May, affiliated PACs spent more than $20 million supporting candidates in Republican congressional primaries across Georgia, Alabama and Kentucky, including more than $7 million backing Rep. Andy Barr in Kentucky’s Senate primary.
The group later expanded its efforts into Democratic contests, spending millions of dollars in Maryland and New York. Several crypto-backed candidates advanced in these states, further reinforcing Fairshake’s reputation as the industry’s most influential political organization.
McLaren argued that the crypto’s lobby’s willingness to back candidates in competitive races is making a difference.“Adrian Boafo was polling behind the field in Maryland before the crypto industry’s ads ran. He won,” he said.
“In Houston, the industry backed Christian Menefee, a young…
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