Two high-stakes Texas runoff elections are drawing millions of dollars in spending from crypto-aligned political action committees, as the digital asset industry seeks to influence congressional races that could shape future regulation.
In the Texas 18th congressional district, Democratic voters will choose between incumbent Al Green and challenger Christian Menefee. Protect Progress, an affiliate of the Fairshake super PAC backed by Ripple and Coinbase, reported $5 million in support of Menefee and $2.8 million in ads opposing Green, according to Federal Election Commission filings. Menefee also received endorsement from the Blockchain Leadership Fund, backed by Anchorage Digital and Chainlink Labs.
In the Republican primary for U.S. Senate, the Fellowship PAC — funded by Cantor Fitzgerald and Anchorage — spent $500,000 to support Texas Attorney General Ken Paxton over Senator John Cornyn, a move that came shortly after President Donald Trump endorsed Paxton. The broader Senate race has seen over $100 million in ad spending, with Paxton gaining late momentum from Trump’s backing and outside support.
The spending reflects a deliberate strategy: rather than focusing solely on national legislation, crypto groups are targeting individual races to influence committee assignments, party control of Congress, and the direction of digital asset regulation in 2027. Green, a vocal crypto critic, voted against the GENIUS Act stablecoin bill and the Clarity Act, earning an F grade from Stand With Crypto. His seat became a priority for Fairshake, which disclosed $193 million in its 2026 war chest.
Prediction markets signaled strong confidence in the pro-crypto challengers. Kalshi contracts gave Menefee a 91% chance of defeating Green and Paxton a 96% chance against Cornyn, with total betting volume on the Senate race exceeding $16 million. Rival platform Polymarket showed similar odds. While these markets are not official results, they highlight how prediction venues — themselves part of the regulatory debate — are pricing political outcomes in real time.
The Texas runoffs thus serve as a direct test of crypto’s political reach, with the industry’s campaign finance efforts aiming to secure friendly lawmakers who could advance market structure, stablecoin oversight, and exchange regulation in the next Congress.
