A recently formed cryptocurrency industry political action committee, Fellowship PAC, has secured $11 million in initial funding and has already allocated $3 million for advertising services through Nxum Group, a firm founded by Tether US CEO Bo Hines. The super PAC aims to support Republican candidates in congressional and gubernatorial elections. Its primary funding sources are Cantor Fitzgerald, which provided $10 million, and Anchorage Digital, a crypto bank that contributed $1 million.
The initial $3 million in advertising expenses has been directed to Nxum Group, a company established by Hines, his father, and another partner. Although Fellowship PAC has been associated with Tether since its inception, the majority of its funding originates 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, while a Cantor spokesperson declined to comment on their involvement with the super PAC. The PAC has so far committed $300,000 to support Clay Fuller, $850,000 to back Nate Morris, and $350,000 to support Pete Ricketts, according to Federal Election Commission filings.
Nxum Group has received $3 million in disbursements for advertising services, despite having a limited track record in serving PACs or campaigns prior to this engagement. Anchorage Digital views its contribution as an investment in the US crypto policy process, aiming to promote regulatory clarity for digital assets. The company stated that its contribution is part of a broader, bipartisan approach to advancing regulatory clarity for digital assets in the United States.