A newly formed crypto-focused super PAC, The Fellowship PAC, has made its first major expenditure, spending $300,000 on advertising for a Republican candidate through a firm co-founded by Tether's US CEO, Bo Hines. This move has raised questions about the potential for self-dealing, given Hines' ties to both the PAC and the advertising firm, Nxum Group.
According to campaign finance rules, as long as services are provided at fair market value, such transactions are permissible. The Fellowship PAC's first major expenditure comes ahead of the 2026 congressional midterm elections, with the PAC aiming to support candidates who advocate for the growth of digital assets and the US's position as a leader in financial infrastructure.
The PAC's first recipient of financial support is incoming Republican Representative Clay Fuller, who recently won a special election in Georgia. The money spent by the Fellowship super PAC was an independent expenditure, handled without coordination with Fuller's campaign.
While the PAC has announced its intention to support candidates aligned with its vision, its current accounts show no stockpile of contributions, despite an earlier announcement that it would be established with pledges of $100 million. An outside spokesperson for Tether has stated that Tether International has no affiliation or oversight over the Fellowship PAC, but the connection between Tether's US arm and the PAC remains a subject of interest. The PAC's treasurer, Mitchell Nobel, is an executive at Cantor Fitzgerald, a firm that manages assets for Tether's global operation.
As the US midterm elections progress, the crypto industry is likely to require support from both parties, given the potential shift in the legislative agenda. The Fellowship PAC's activities will be closely watched, particularly in comparison to the leading crypto super PAC, Fairshake, which has already expended millions in the early contests.