A new political action committee, The Fellowship PAC, associated with Tether, has disclosed its initial expenditure, with $300,000 going to Nxum Group, a company co-founded by Bo Hines, the chief executive of Tether's US operations and a former advisor to President Donald Trump. The PAC, which claims to be 'rooted in transparency,' has not responded to inquiries about its formation and funding. The expenditure was for advertising in support of Georgia Republican Clay Fuller, who recently won a special election.
The payment may benefit Hines and his relative, but setting up a super PAC and paying for services is not against US campaign-finance rules as long as the services are provided at fair market value. The Fellowship PAC's first recipient of financial support, Fuller, will need campaign support for the upcoming primary and general election. The PAC's disclosures do not yet show a significant stockpile of contributions to back other candidates, despite an announcement last year that it would be established with pledges of $100 million.