Kraken Pledges $2 Million to Influence Crypto Policy Ahead of 2026 U.S. Legislative Elections
- Kraken donates $2 million to pro-crypto PACs to support laws that protect digital asset users in the US.
- Political PACs with crypto backing gained power in the 2024 elections and plan more spending in upcoming races.
- Congress is moving forward with new crypto bills while agencies continue to enforce strict rules on exchanges.
Kraken has committed $2 million to two political action committees (PACs) before the U.S. elections in 2026. The crypto exchange will contribute $1 million to the Freedom Fund PAC and the other $1 million to The America First Digital. Both groups support candidates backing crypto-friendly policies.
This move follows earlier political contributions by Kraken and its parent company, Payward Inc. In January 2024, Payward donated $750,000 to Fairshake PAC. The latest pledge signals a growing trend of digital asset firms increasing political spending.
Focus on Regulatory Clarity and Digital Rights
The donations made by Kraken are a sign of a larger effort to shape crypto regulation in the United States. The exchange will safeguard rights such as self-custody and decentralized access. Kraken facilitates legal frameworks that allow innovation, but privacy and financial freedom.
Executives at the firm have expressed concern about regulatory uncertainty and privacy tool restrictions. The donations support groups pushing for clear, consistent laws governing digital assets. These efforts come as federal enforcement actions continue to target exchanges.
Kraken’s leadership views these contributions as investments in regulatory development. The company maintains that it supports policy, not political parties. However, both PACs receiving funds align closely with Republican and pro-Trump interests.
Pro-Crypto PACs Gain Influence in Washington
Political action committees with crypto backing played a major role in the 2024 election cycle. Groups like Fairshake PAC spent over $130 million supporting nearly 300 pro-crypto candidates. Their influence helped shape what many consider the most crypto-positive Congress in history.
These PACs supported candidates in key races across states like Ohio, Arizona, and California. In Ohio, Republican Bernie Moreno won his Senate race with strong support from crypto-aligned donors. Fairshake PAC has secured $78 million for future campaigns, showing continued momentum.
Fellowship PAC, a new entrant, launched this year with $100 million in funding. Like Fairshake, it plans to back innovation-focused candidates. Some of the biggest contributors to these groups include Coinbase, Ripple Labs, and Andreessen Horowitz.
Legislative Progress Fuels Industry Push
Congress has moved forward with several bills related to cryptocurrency. The GENIUS Act and the CLARITY Act gained bipartisan support in recent months. These bills aim to define the roles of the SEC and CFTC in overseeing digital assets.
Senators expect a final market structure bill by the end of 2025. Industry leaders view this as a pivotal moment for crypto’s future in the U.S. Meanwhile, regulatory agencies continue their enforcement efforts. This has increased uncertainty and pushed companies like Kraken to engage more directly in policy. The political shift signals a more organized crypto presence in Washington.
