A recently formed crypto industry political action committee, known as Fellowship PAC, has initiated its operations with an $11 million investment and has thus far allocated $3 million for advertising services to Nxum Group, a company co-founded by Bo Hines, the CEO of Tether US. The super PAC is primarily supporting Republican candidates in congressional and gubernatorial elections, having garnered $10 million from Cantor Fitzgerald and $1 million from Anchorage Digital, a crypto bank, according to filings with the Federal Election Commission. The initial $3 million expenditure on political advertising for favored candidates has been channeled to Nxum Group, which was founded by Hines, his father, and another partner.
Although Fellowship PAC has been associated with Tether since its inception and has a Tether senior executive as its chairman, the majority of its funding originated from Cantor Fitzgerald, a New York-based financial services giant that manages Tether's stablecoin reserves. Cantor's former chief, Howard Lutnick, currently serves as the US Commerce Secretary, while his children have taken over the business.
A representative of Tether US did not immediately respond to a request for comment, and a Cantor spokeswoman declined to comment on the company's involvement with the super PAC. Upon its public launch, Fellowship PAC announced that it would wield $100 million, a figure that would rival the leading crypto PAC, Fairshake. The PAC's treasurer is an executive at Cantor.
Thus far, the PAC has allocated $300,000 to support Clay Fuller, the newest member of the US House of Representatives, who recently took over Marjorie Taylor Green's seat in a Georgia special election; $850,000 to back Nate Morris for a US Senate seat in Kentucky; and $350,000 to support incumbent Nebraska Senator Pete Ricketts, according to Federal Election Commission filings. The filings revealed that Nxum has received $3 million in disbursements for advertising services. Prior to this, Nxum lacked a significant track record in serving PACs or campaigns, with its primary claim to fame being $1 million in billboard ads donated to MAGA Inc. in 2024, shortly before Hines took on a high-profile role at the White House.
Upon its formation, Fellowship stated that it had $100 million in pledged backing and would champion transparency as it supported pro-crypto candidates, a level of funding that has not yet materialized. Anchorage Digital, the first crypto-native bank to secure a US federal charter, characterized its contribution as an investment in the US crypto policy process. In a statement, the company said, 'Anchorage Digital has made a corporate contribution to the Fellowship PAC as part of our broader, bipartisan approach to advancing regulatory clarity for digital assets in the United States.' Despite the involvement of Tether executives in Fellowship's work, it remains unclear whether Tether or its US arm, Tether US, would be able to make direct contributions to the PAC, as non-US entities are not permitted to directly participate in US campaign finances.