Coinbase and Ripple (XRP) show too much zeal during the American presidential campaign? Yes, according to the Center for Political Transparency, which pinning the 2 Crypto companies.
Coinbase and ripple pinned by a political funding organization
Coinbase and Ripple were among the most openly favorable companies in Donald Trump during the presidential campaign that brought him to power. Overall, The crypto ecosystem has massively joined the republican candidatewhich founded part of its campaign on the opening of activities related to cryptocurrencies.
The Center for Political Transparency, a non -profit organization, however points to the finger L'”opacity»Which, according to her, surround the funding made in the republican campaign. The actors of the crypto ecosystem would indeed go through sometimes diverted funding, without their lobbying efforts being clarified with consumers.
👉 Our ranking of the best Crypto platforms of the moment
Funding against the leniency of the regulator?
The organization also notes that companies that have publicly supported Donald Trump are also for many those who have benefited from an exemption from the dry A few weeks later.
The center for transparency also recalls that very significant sums have been allocated to buy influence ::
“Holders of cryptocurrency exchange platforms and other large asset distributors have quite discreetly injected tens of millions of dollars into local electoral races and at the level of the state this year. »»
Coinbase and Ripple Labs are among the biggest contributors to Fairshakea group of political influence that has managed to have several unavored candidates beat in the cryptocurrency sector. However, this can pose a risk of perception, still depending on the center for political transparency:
“This ignores the systemic risks linked to being perceived as a purely political actor and leads to a major reputation risk for Coinbase and Ripple Labs. »»
Ledger: the best solution to protect your cryptocurrencies 🔒
The question of political gifts from private companies
The report thus points to the donations of Coinbase and Ripple and compared to donations from Sam Bankman-Fried and FTX to Democratic candidates. As a reminder, These embarrassing donations had led Democrats to detach themselves more clearly from cryptocurrencies. The risk is therefore also present for Coinbase and Ripple, according to the report:
“The industry is likely to attract attention even more to itself and to the arguments in favor of the regulation which it desperately seeks to avoid, thus accentuating volatility and aggravating its reputational damage. »»
🌐 In the news – reserve in cryptocurrencies: what assets really has the US government?
Coinbase in particular would be particularly not very transparent about the way in which the company spends funds for political purposeswhen compared to other big players like Microsoft or Google:
“Coinbase is extremely deficient, including in the most basic control policies in terms of transparency and supervision of its works funds.”
It is therefore likely that these questions emerge againwhen the enthusiasm that led a pro-Crypto president in power will fall.
Do not miss the Bullrun, join our experts on Cryptoast Academy
Advertisement
Source: Center for political transparency
The crypto newsletter n ° 1 🍞
Receive a summary of crypto news every day by email 👌
Certain links present in this article may be affiliated. This means that if you buy a product or register on a site from this article, our partner gives us a commission.
Investments in cryptocurrencies are risky. There is no guaranteed high yield, a product with high performance potential implies a high risk. This risk taking must be in line with your project, your investment horizon and your ability to lose part of this savings. Do not invest if you are not ready to lose all or part of your capital
Journalist at Cryptoast since 2017, I have been passionate about the challenges of decentralization, privacy and regulation. I specialized in the economy and traditional finance by analyzing how the news in this sector influence that of cryptocurrencies, thus offering a unique and enlightened perspective to cryptoast readers.
Marine Debellor
3366 articles
