Politico reports:

The cryptocurrency industry is at a political crossroads.

Reeling from the demise of its longtime top legislative priority, crypto companies must now decide how scorched-earth to go against Senate Democrats, who last week voted unanimously against the so-called Clarity Act, a sweeping bill that would create a bespoke new regulatory framework for digital assets.

A crypto-backed PAC network’s move this week provides a hint of what may be to come. The group, known as Fairshake, announced it would spend at least $30 million to help block Democrat Sherrod Brown from recapturing a pivotal Ohio Senate seat, representing the first major signal of how the industry plans to deploy its massive campaign war chest in the final weeks before the 2026 midterms.

Some crypto executives have publicly signaled an appetite in recent days for punishing Democrats. But a partisan strategy carries major political risk for the industry: A broad offensive against Democrats ahead of an election where they have a chance to reclaim power on Capitol Hill could further alienate lawmakers the industry may soon need to revive its agenda. [Continue reading…]