A recently launched cryptocurrency industry political action committee, known as Fellowship PAC, has begun its operations with an $11 million investment. The committee has allocated $3 million for advertising services through Nxum Group, a company co-founded by Tether US CEO Bo Hines. The super PAC aims to support Republican candidates in congressional and gubernatorial elections, with initial funding of $10 million from Cantor Fitzgerald and $1 million from Anchorage Digital, a crypto bank. According to Federal Election Commission filings, the $3 million spent on advertising has been channeled through Nxum Group, which was founded by Hines, his father, and another partner.
While Fellowship PAC has ties to Tether, with a senior Tether executive serving as its chairman, the majority of its funding comes from Cantor Fitzgerald, a New York-based financial services giant that handles Tether's stablecoin reserves. A representative from Tether US did not immediately respond to a request for comment, and a Cantor spokesperson declined to comment on their involvement with the super PAC. Fellowship PAC has so far allocated $300,000 to support Clay Fuller, a new member of the U.S. House of Representatives; $850,000 to support Nate Morris for a U.S.
Senate seat in Kentucky; and $350,000 to support incumbent Nebraska Senator Pete Ricketts. The committee's filings show that Nxum has received $3 million in disbursements for advertising services. Prior to this, Nxum had a limited track record of serving PACs or campaigns, with its primary claim to fame being a $1 million donation of billboard ads to MAGA Inc.
in 2024. When Fellowship PAC was announced last year, it claimed to have $100 million in pledged backing and vowed to champion transparency in supporting pro-crypto candidates. However, this level of funding has not yet materialized. Anchorage Digital, which contributed to the PAC, described its investment as part of its efforts to advance regulatory clarity for digital assets in the United States.
The company stated that it has made a corporate contribution to the Fellowship PAC as part of its bipartisan approach to promoting digital asset regulation. Despite the involvement of Tether executives in Fellowship PAC's work, it remains unclear whether Tether or its U.S. arm can make direct contributions to the PAC, as non-U.S. entities are not allowed to participate directly in U.S.
campaign financing.