Senate rejects CLARITY Act; crypto PACs signal 2026 spending surge
In brief
- Senate rejected CLARITY Act 49-50 on September 15, delaying crypto regulation past 2026
- Fairshake plans $30 million campaign targeting Ohio Senator Sherrod Brown
- Crypto PACs spent $130+ million in 2024; 2026 midterms approach in 42 days
- Stand With Crypto warned lawmakers of electoral consequences for opposing the bill
Fairshake's Escalating Playbook
Fairshake, backed by Coinbase and Ripple Labs, plans to pour $30 million into opposing Sherrod Brown in Ohio's Senate race. Brown chaired the Senate Banking Committee when Democrats held the majority and pursued policies against crypto. The PAC already spent about $41 million opposing Brown in 2024, contributing to his loss to Republican Bernie Moreno.
The scale of crypto spending is substantial. Fairshake spent more than $130 million on ads in the 2024 election cycle, making it one of the largest independent spenders that year. With the CLARITY vote now behind them, industry players view the 2026 midterms as a critical opportunity to reshape Congress's crypto stance.
Industry Signals Electoral Accountability
Stand With Crypto, an initiative launched by Coinbase in 2023, warned that lawmakers who failed to advance the CLARITY Act could face consequences in the 2026 midterms. The message is explicit: support for crypto-friendly legislation will be remembered.
"The results of the CLARITY Act vote make it clear which officials are with our community, and which are against us — and we'll make sure our advocates are ready to cast their ballots accordingly in this and future elections," said Mason Lynaugh, executive director of Stand With Crypto.
Steve Gannon, a partner at law firm Davis Wright Tremaine, stated the CLARITY vote provided the industry with a clear picture of reliable supporters and non-supporters. This clarity transforms the legislative defeat into a targeting tool for political campaigns.
The Wider Landscape
Other crypto-aligned PACs are mobilizing. Fellowship, a PAC funded by Cantor Fitzgerald and Anchorage Digital, and the Digital Freedom Fund, backed by Gemini co-founders Tyler and Cameron Winklevoss, are also positioned to spend. As of Monday, Fairshake and its affiliate PACs had not disclosed expenditures to the FEC following the CLARITY vote, but the intent is clear.
The 2026 midterms are 42 days away. What the crypto industry learned from the CLARITY vote's failure is that legislative strategy alone won't secure favorable policy—electoral muscle will.
