$193M Crypto War Chest Forces White House to the Table
The crypto industry's $193 million war chest is pressuring the White House to resolve a stalled digital asset bill amid banking deposit concerns.Summary
The cryptocurrency industry has amassed a $193 million political war chest ahead of midterm elections, compelling the White House to intervene in a stalled digital asset bill. The crypto PAC Fairshake reported holding $193 million at the end of 2025, fueled by major contributions from firms like Ripple and a16z, signaling a commitment to backing pro-crypto candidates.
The legislative priority, the CLARITY Act, stalled after crypto firms and traditional banks clashed over stablecoin yield provisions. Now, President Trump’s crypto policy council is convening executives from both sides to negotiate a compromise. The banking industry strongly opposes certain provisions, fearing that stablecoins could drain up to $1.5 trillion in deposits from the traditional banking system by 2028, as stablecoin reserves are largely held outside of bank deposits.
The core dispute centers on whether stablecoin issuers or exchanges should be allowed to pay interest on dollar-pegged tokens. Crypto advocates argue restrictions stifle innovation, while banks see it as existential competition. The White House's direct involvement underscores the political pressure on the Trump administration to deliver on crypto policy, leveraging the industry's significant financial influence.
(Source：BeInCrypto)