US crypto executives to throw Washington fundraiser for Harris

[August 31, 2024]  By Hannah Lang

(Reuters) - Cryptocurrency investors and industry executives calling on Vice President Kamala Harris to pursue a softer regulatory stance on the industry are planning to raise at least $100,000 for the Democratic nominee at a Sept. 13 Washington fundraiser.

The grassroots event is scheduled to take place between the Congressional Black Caucus and Congressional Hispanic Caucus conferences, and aims to bring together a diverse group of donors, the organizers told Reuters. Tickets to the fundraiser range from $500 to $5,000, said Cleve Mesidor, executive director of the Blockchain Foundation and one of the organizers.

The event's fundraising goal is small compared to the hundreds of millions Harris has raked in since becoming the Democratic presidential candidate in July when President Joe Biden dropped out of the race. But it is the latest sign that at least some in the industry are rallying behind her rather than Republican nominee Donald Trump, who has courted big crypto donors with friendly policy pledges.

Reuters was first to report the fundraiser.

The organizers include Tiffany Smith, co-chair of the Blockchain & Cryptocurrency Working Group at law firm WilmerHale and Rahilla Zafar, a crypto founder who has also worked in artificial intelligence. They are hoping that if elected, Harris will ease up on crypto after the Securities and Exchange Commission under Biden cracked down on the sector.

The agency says crypto firms are flouting securities laws, although the industry disputes that those laws apply to them.

"Why not seize on the first fundraiser -- which there will be many others -- to actually make a statement about what crypto is for Democrats as a potentially new administration contemplates how do they look at this?" said Mesidor.

She said she hopes the event will facilitate conversations about how a potential Harris administration might encourage crypto innovation and provide more people of color with access to capital.

Democratic presidential nominee and U.S. Vice President Kamala Harris delivers remarks at a campaign rally in Savannah, Georgia, U.S., August 29, 2024. REUTERS/Elizabeth Frantz/ File Photo

"We wanted to make sure that with the change in the presidential nominee for the Democrats, that we were supportive and we came together to help her understand the importance of this industry," said WilmerHale's Smith.

The group is not affiliated with the Harris campaign, which did not respond to a request for comment for this story.

A separate group called Crypto4Harris also emerged this month and plans to throw fundraisers for Harris. The group held a town hall during which billionaire Mark Cuban and Wall Street financier Anthony Scaramucci spoke in favor of Harris.

Although Harris has yet to publicly take a stance on crypto, her campaign staff have met with prominent crypto firms including Coinbase and Ripple, Reuters previously reported.

Those and other big crypto companies are donating to pro-crypto candidates in congressional races in both parties via super political action committees, campaign finance records show, rather than aligning themselves with either presidential candidate.

Brian Nelson, a senior adviser for the Harris campaign, said at an event at the Democratic National Convention this month that Harris would support the growth of emerging technologies, which many in the crypto industry saw as a positive sign.

"[Harris] has this golden opportunity to really lay out a plan to sway a lot of these voters from the crypto industry," said Zafar.

(Reporting by Hannah Lang in New York; editing by Michelle Price and Deepa Babington)

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