Cuomo Says Crypto Industry's Heavy GOP Spending Has Alienated Democrats
Key Takeaways
- •Andrew Cuomo said at Token2049 that the crypto industry's strategy of investing heavily in the Republican Party has alienated Democrats whose support is essential to pass the CLARITY Act.
- •Crypto-focused political action committees have spent $54.3 million supporting Republicans in the 2026 election cycle, compared with $26.2 million supporting Democrats, while another $23.2 million has gone toward opposing Democrats.
- •The CLARITY Act, which would divide digital asset oversight between the SEC and the CFTC, passed the House in July 2025 with 78 Democrats and 216 Republicans in favor, but stalled when all Senate Democrats and four Republicans voted against advancing it in September.
- •Eighteen Democratic senators backed the GENIUS Act, a stablecoin规则 bill that passed the Senate in June 2025 and was signed into law the following month, showing crypto legislation has drawn support from both parties.
- •A Kalshi prediction market put the probability of Democrats winning both chambers of Congress at about 61%, and Cuomo said a Democratic-controlled Congress could either roll back crypto initiatives or work with the Trump administration to pass the CLARITY Act.
The crypto industry's outsized financial backing of US Republicans has alienated Democratic lawmakers whose support is needed to pass federal crypto legislation, according to former New York Governor Andrew Cuomo.
Speaking on a panel with OKX CEO Star Xu at Token2049, a major crypto industry conference, on Tuesday, Cuomo said the industry "believed in investing heavily in the Republican Party" as a strategy to get the CLARITY Act passed. The bill would establish a comprehensive regulatory framework for digital asset markets in the US, clarifying how oversight is divided between the Securities and Exchange Commission and the Commodity Futures Trading Commission.
Campaign finance figures support that characterization. Crypto-focused political action committees tracked by Tech Influence Watch have spent $54.3 million supporting Republicans in the 2026 election cycle, compared with $26.2 million supporting Democrats. Another $23.2 million has been spent opposing Democrats, according to the tracker's latest figures, checked on Thursday.
"When you invest heavily in the Republican Party, by definition, you're going to alienate Democrats," Cuomo said.
High stakes for the midterms
As of Thursday, a Kalshi prediction market put the probability of Democrats winning both chambers of Congress at about 61%. Majority control of each chamber determines which bills can reach the floor, making the outcome consequential for crypto legislation such as the CLARITY Act, which has yet to become law. Cuomo said a Democratic-controlled Congress could either seek to roll back the agencies' crypto initiatives or work with the Trump administration to pass the full CLARITY Act.
"You need Democrats to pass the bill. You need Republicans. You have to be more balanced," he said.
"There's a sense that Democrats are anti-crypto"
Cuomo also disputed the perception that Democrats are inherently opposed to crypto technology.
"There's a sense that Democrats are anti-crypto," he said.
"As a matter of fact, I could argue that the crypto technology is exactly suited to the Democratic Party," he added. "It's empowering people who otherwise wouldn't have access to financial products, and the Democratic Party has been working to do that all its life."
Bipartisan backing, uneven coalitions
Crypto legislation has attracted support from both parties, although Republicans have been more united behind major bills. In July 2025, 78 House Democrats joined 216 Republicans to pass the CLARITY Act, while 134 Democrats voted against it. Separately, 18 Democratic senators supported the GENIUS Act, which set federal rules for payment stablecoins and passed the Senate in June 2025 before being signed into law the following month.
Momentum later stalled in the Senate. All Senate Democrats and four Republicans voted against advancing the CLARITY Act in a September procedural vote, though many of the concerns at the time were tied to potential conflicts of interest involving Trump's crypto businesses. Seven Democratic senators subsequently issued a joint statement reaffirming their commitment to passing the CLARITY Act.
Fairshake, a crypto-focused political action committee, said Monday it would support 32 House candidates in November's midterm elections, including 19 Republicans and 13 Democrats. All 435 House seats will be on the ballot in November.
