Senior Republican officials reportedly contacted Commerce Secretary Howard Lutnick after a crypto-linked super PAC, Fellowship PAC, signaled plans to spend $1.75 million in Texas. The planned spending would have supported Texas Attorney General Ken Paxton in a Republican Senate runoff against Senator John Cornyn.
The filing drew attention because President Donald Trump had not taken a side in the race, and Republican leaders viewed the move by Fellowship PAC as a possible disruption in a sensitive primary contest. Fellowship PAC was seeded by Cantor Fitzgerald, the firm Lutnick led before joining the Trump administration. Lutnick divested his interests last year, and his sons now run the firm.
Later reporting showed the ad buy did not proceed. Republican leaders were informed that the group had not aired and was not preparing to air pro-Paxton ads. Media tracking data found no ads run by the group this cycle. It remains unclear whether Lutnick took direct steps after the calls.
The crypto angle has made Fellowship PAC one of the more closely watched political groups ahead of the 2026 midterms. Cantor Fitzgerald donated $10 million to the group, according to federal filings. Fellowship PAC is chaired by Jesse Spiro, Tether’s head of government affairs. The group also received $1 million from Anchor Labs, a crypto infrastructure firm. Fellowship PAC had reportedly aimed to raise $100 million for the 2026 election cycle. By mid-April, it had brought in $11 million from disclosed backers.
This week, more than 100 crypto companies and lobbying groups urged Congress to move forward on market structure legislation. The episode comes as crypto political spending grows in Washington, with crypto groups spending roughly $120 million to $130 million in the 2024 elections. The 2026 cycle is drawing more attention because the industry is also pushing for clearer digital asset rules.
