The CEO of FTX, Sam Bankman-Fried, donated $5.2 million to aid Joe Biden’s presidential campaign. This contribution could usher FTX into the U.S market. A recent report by the Wall Street Journal also revealed the entry of primary players in the Bitcoin market and cryptocurrencies into U.S. politics.
Sam Bankman-Fried is the second-largest contributor to Joe Biden’s presidential campaign. And this means that he is part of the possible victory of Joe Biden as the next president of the United States. Although it looked like Donald Trump was on his way back to the White House, the tide seems to have turned in favor of Joe Biden. Currently, the election has had a record turnout, but there is still no clear winner at the time of writing.
Sam Bankman-Fried and other donors
Sam Bankman-Fried is a member of a special Political Action Committee (PAC) that has no legal limitations on the amount of money it can collect. But whatever that comes from the PAC can only be for investments at the state level, as the law bans them from making federal contributions. Therefore, they used the money from the committee for campaign support in 3 key states: Florida, Texas, and Ohio. Sam’s donation was, however, surpassed by Michael Bloomberg, who donated $56 million.
In all, Biden received the sum of $79.5 million from his top donors, unlike the incumbent president, who received $75 million. Considering how the election has been, Bankman-Fried’s contribution could be significant in the final result. According to the Center for Responsive Politics, both candidates have received nearly $2.2 billion in donations.
In addition to Bankman-Fried’s contribution, Alphabet Inc (Google), Simon Property Group, Euclidean Capital, and others also contributed to the campaign.
Bitcoin gains entrance into Washington
Sam’s donation could have significant implications if Joe Biden wins the presidential election, especially in the implementation of a new regulatory policy. Meanwhile, reactions from the crypto community regarding his donation has been positive. A user even stated that crypto needed all the attention it can get in Washington, and many others expect positive results from the contribution:
“It is great to see a crypto CEO give such a high amount to the election. Let us hope that Sam Bankman-Fried lobbied for cryptocurrencies with the Biden camp before making donations.”
FTX is a Hong Kong-based crypto exchange. Due to U.S law, it does not permit U.S citizens to trade its derivative products. With the contribution, there are chances that these regulations will be relaxed to enable the exchange make an entry into the U.S market. Adam Cochran also believes that this is political lobbying and a great way to change some regulations.