Republicans advance crypto regulation bill as industry PAC delays spending decisions

Republicans advanced legislation that would define how digital assets are regulated out of the Senate Banking Committee on Thursday. All 13 Republican members voted in favor of the measure, while Democrats opposed it 9-2. The bill, known as the CLARITY Act, follows other pro-crypto measures that Republicans have supported in recent months.

The pro-crypto Fairshake super PAC holds $165 million but has not announced which races it will target this year.

Spending decisions draw Republican concern Republicans have expressed frustration that Fairshake has not said whether it will oppose Ohio Democrat Sherrod Brown in his Senate race this year. Fairshake spent more than $40 million to defeat Brown in his 2024 reelection bid.

Fairshake defenders say the group is still early in its decision-making process for the current election year. Senate campaign strategists argue that delays in purchasing advertising time will increase costs.

The Coinbase-backed Stand With Crypto group raised Pappas' rating from an F to an A within eight months last year.

Industry funding and bipartisan approach Fairshake receives the bulk of its funding from Coinbase. The group spent more to support Republicans than Democrats in 2024 but backed Democratic candidates in Michigan and Arizona. Some pro-crypto Republicans have launched their own groups to support GOP candidates.

A Republican strategist who works on Senate campaigns said members have noticed the industry is not investing in efforts to maintain control of the House and Senate in November. A Fairshake spokesperson did not respond to a request for comment. A Brown campaign spokesperson said the former senator recognizes cryptocurrency as part of the American economy and will keep an open mind on issues before the Senate.