A recently formed cryptocurrency industry political action committee, Fellowship PAC, has launched with substantial financial support, totaling $11 million. Notably, it has allocated $3 million for advertising services through Nxum Group, a company co-founded by Tether US CEO Bo Hines. The super PAC is primarily focusing on supporting Republican candidates in congressional and gubernatorial races.
According to Federal Election Commission filings, the initial funding came from Cantor Fitzgerald, which contributed $10 million, and Anchorage Digital, a crypto bank, which provided $1 million. The $3 million spent on political advertising has gone to Nxum Group, a company founded by Hines, his father, and another partner.
While Fellowship PAC has been closely associated with Tether since its inception, the majority of its funding originated 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. Initially, Fellowship PAC announced it would have $100 million at its disposal, rivaling the leading crypto PAC, Fairshake.
The PAC's treasurer is an executive at Cantor. So far, the PAC has allocated $300,000 to support Clay Fuller, the newest member of the U.S. House of Representatives; $850,000 to back Nate Morris for a U.S. Senate seat in Kentucky; and $350,000 to support incumbent Nebraska Senator Pete Ricketts.
The filings also disclosed that Nxum received $3 million in disbursements for advertising. Prior to this, Nxum had a limited 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. When Fellowship PAC was announced, it pledged to champion transparency while supporting pro-crypto candidates, with a promised backing of $100 million. However, this level of funding has not yet materialized. Anchorage Digital described its contribution as an investment in the U.S.
crypto policy process, stating it is part of their broader approach to advancing regulatory clarity for digital assets in the United States. 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 directly participate in U.S.
campaign finances.