Crypto sector lobbying spending up a third in Q2

Of the 42 detailed filings in Q2, 17, or roughly 40%, referenced the classification of digital assets as securities or commodities as an area of ​​focus. These filings reported $3.2 million in lobbying expenditures. Eight of the detailed documents, describing $2.1 million in expenditures, list stablecoins as an area of ​​interest.

Smith said the Infrastructure Act’s tax reporting provisions, which first sparked a political spending spree by industry, have taken precedence this year over more pressing issues around infrastructure regulation. market and stablecoins. Yet tax issues have often cropped up in lobbying disclosures. Among the detailed second-quarter disclosures, 17 filings — reporting $2.7 million in spending — mentioned the tax.

Preaching the “techno-optimistic” message

Timi Iwayemi, senior researcher at the Revolving Door Project, said if the industry sticks to its priorities, consumers will pay the price. The Revolving Door Project reviews executive appointments.

Placing digital assets under CFTC oversight would leave investors vulnerable to scams, washouts and pump-and-dump schemes, he said, adding that allowing stablecoins to replicate the services provided by banks without appropriate safeguards, such as deposit insurance, could threaten financial stability as a whole.

The industry has cultivated lawmakers, especially Democrats, through a combination of lobbying and campaign spending, meetings with industry executives and revolving door hires, Iwayemi said in an interview.

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