A newly formed crypto-focused super PAC, The Fellowship PAC, has made its first major expenditure, spending $300,000 on advertising with Nxum Group, a firm co-founded by Bo Hines, who currently serves as the CEO of Tether's US operations and previously advised President Donald Trump. The move marks the PAC's initial foray into the 2026 congressional midterm elections and has raised questions about the connection between the PAC and Tether, which the company has declined to confirm. The Fellowship PAC, which claims to be rooted in transparency, has not responded to inquiries about its formation, funding, or the payment to Nxum Group, which may benefit Hines and his family.

According to campaign finance rules, setting up a super PAC and paying for services is not prohibited as long as the services are provided at fair market value. The PAC's advertising effort is in support of Georgia Republican Clay Fuller, who recently won a special election and will require continued campaign support for the upcoming primary and general election. The Fellowship PAC has announced its backing of advocates for emerging digital assets technology and plans to actively support candidates aligned with this vision. The PAC's first financial support recipient, Fuller, has not publicly stated his position on crypto and does not have a grade from the advocacy group Stand With Crypto.

The firm paid by the Fellowship PAC, Nxum, was co-founded by Hines, who later became the executive director of the President's Council of Advisers on Digital Assets, and contributed $1 million in billboard advertising to support Trump in 2024. The PAC's treasurer, Mitchell Nobel, is an executive at Cantor Fitzgerald, which manages assets for Tether's global operation. The Fellowship PAC was presented as a contrast to previous political engagement efforts, aiming to help the broader crypto ecosystem and promote transparency and trust. The PAC's relatively small expenditure so far is a drop in the bucket compared to the leading crypto super PAC, Fairshake, which has spent millions in the early contests.

The US midterm elections are already underway, and the outcome may have significant implications for future crypto legislation.