Ripple Co-Founder Larsen Flooding Kamala Harris’ Election Effort With XRP

As an analyst with over two decades of experience in the tech and financial sectors, I find Chris Larsen’s recent move to amplify his support for Vice President Kamala Harris by investing $10 million worth of XRP intriguing. His backing not only underscores his belief in Harris’ ability to bring a “new approach to tech innovation,” but also demonstrates the growing influence of the crypto sector in politics.

In a recent statement, Chris Larsen, co-founder and Executive Chairman of Ripple, declared that he had invested an additional $10 million in XRP tokens connected with his company, with the intention of supporting Vice President Kamala Harris in her upcoming election against former President Donald Trump. This election is due to take place next month.

Larsen recently announced his strong backing for Harris by pledging $10 million in XRP to the Future Forward political action committee, as stated in a post on platform X, published on Monday.

He proposed that the Democratic party should adopt a fresh strategy towards technological advancement, encompassing cryptocurrency, and further stated that Harris would prioritize making American technology leadership global.

According to records from the Federal Election Commission, it is known that Larsen had previously contributed a substantial sum of $1.75 million to the Political Action Committee (PAC). Moreover, he has also donated large amounts of money, running into hundreds of thousands, to various Democratic congressional campaigns.

Although his fortune is substantial, it pales in comparison to the extensive political funding efforts spearheaded by the Fairshake super PAC within the cryptocurrency industry. The group’s $169 million in contributions, largely from Coinbase Inc., Ripple Labs, and Andreesen Horowitz (a16z), has not only outshone the crypto sector’s political involvement but also elevated it to one of the leading contributors to the 2024 elections.

Although Fairshake has endeavored to evenly distribute its expenditures among the two main political parties and maintain impartiality during the presidential race, numerous influential figures within the industry have publicly expressed their personal preferences for a particular presidential candidate.

Countering Larsen, some pro-Trump crypto names have included Tyler and Cameron Winklevoss, Kraken co-founder Jesse Powell and also venture capital giant a16z’s leaders, Marc Andreessen and Ben Horowitz. However, Horowitz declared early this month that he also intended “a significant donation to entities who support the Harris Walz campaign,” because of a longstanding friendship.

The majority of funds provided by crypto leaders like Larsen are being channeled into Super PACs instead of directly supporting a specific political candidate’s campaign. This is because individuals have strict limitations for direct contributions, while Super PACs can receive unlimited amounts due to the Supreme Court’s Citizens United decision in 2010. These Super PACs are allowed to make independent expenditures on advertising that advocates for a candidate, as long as they don’t collaborate with the campaign itself.

Last month, Larsen was among 88 business executives who supported Harris by signing a letter. However, Ripple and its CEO Brad Garlinghouse have on occasion tried to undermine Democratic candidates during elections. In a notable instance, Ripple’s political donations leaned towards the Republican party when they attempted to unseat Sen. Elizabeth Warren (D-Mass.), who is critical of crypto. Furthermore, according to Federal Election Commission filings, Garlinghouse contributed $50,000 to a super PAC aiming to establish a Republican majority in the Senate.