Elisabetta Minin https://cryptohead.io 2m 399 #crypto
The views of this article are the perspective of the author and may not be reflective of Confessions of the Professions.
Crypto lobbying expenditure increased by 116% in the last year and expected to hit $15 million by the end of 2022
Research can today reveal that spending on crypto lobbying has increased by 116% in the last year, bringing the total lobbying expenditure to $9.56 million!
The research, from
Crypto Head, analysed
Open Secrets data to reveal how much crypto companies have spent on lobbying in the US and which ones spent the most money.
With rising concerns about cryptocurrency volatility, its environmental impact, and its part in recent ransomware attacks, the Biden administration is looking to implement changes in the regulations that govern cryptocurrency. As a consequence, companies are actively hiring former government officials and ex-lawmakers to act as lobbyists and possibly influence the crafting of new regulations around crypto.
The total spent on crypto lobbying has seen a considerable increase in the last few years, with the largest percent increase in 2018 – lobbying expenditure rose by 360%, from $200,000 to $920,000!
The largest real increase was registered from 2020 to 2021, with expenditure rising by $2.65 million! If the yearly figure continues to increase, by the end of 2022 it could reach $15 million OR MORE.
Crypto lobbying expenditure per year:
Year | Crypto Lobbying Expenditure | Annual % Increase |
2017 | $200,000 | .. |
2018 | $920,000 | 360% |
2019 | $1,240,000 | 35% |
2020 | $2,275,000 | 83% |
2021 | $4,925,000 | 116% |
5 Year Total | $9,560,000 | .. |
The study looked at the crypto companies that spent the most money in lobbying in the past five years.
Ripple Labs is in the lead, with a total expenditure of £1.95 million, which possibly makes it the most influential crypto company in the US when it comes to affecting government policy and regulation. The second biggest spender is Robinhood, registering a total lobbying expenditure of $1.625 million. Coming in third is Blockchain Association, having spent a total of $1.465 million in lobbying since 2017!
The biggest-spending crypto companies (crypto lobbying expenditure since 2017):
Rank | Company | 5 Year Total Lobbying Expenditure |
1 | Ripple Labs | $1,950,000 |
2 | Robinhood | $1,625,000 |
3 | Blockchain Association | $1,610,000 |
4 | Coinbase | $1,465,000 |
5 | Block.One | $940,000 |
6 | Bitcoin Association | $640,000 |
7 | Algorand Inc | $350,000 |
8 | Marqeta | $310,000 |
9 | CoinFlip | $250,000 |
10 | Digital Currency Group | $170,000 |
11 | Chainalysis | $130,000 |
12 | ConsenSys | $90,000 |
13 | Binance | $20,000 |
14 | Chia Network | $10,000 |
FURTHER FINDINGS:
The company with the highest number of crypto lobbyists is Coinbase, with a total of 23 separate lobbyists acting on their behalf. 19 among these lobbyists are ‘revolvers’, well-connected and knowledgeable with regards to the inner workings of government decision making.
Last year alone, Robinhood spent a total of $1.35 million in lobbying.
Chia network is the lowest-spending crypto company when it comes to lobbying – it only spent a total of $10,000 in 2021.
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