Ripple's Chris Larsen Boosts Kamala Harris Campaign With Another $10M XRP Donation Amid SEC Battle

• October 21, 2024

In a significant development ahead of the 2024 U.S. Presidential election, Ripple co-founder Chris Larsen has donated another 10 million XRP to Kamala Harris's campaign, reinforcing the growing involvement of the cryptocurrency industry in politics.

This move positions Larsen as a key figure in the intersection of crypto and political advocacy, with his latest donation drawing attention not only to his personal political preferences but also to the state of his crypto project, Ripple.

Ripple, which has been locked in a prolonged legal battle with the U.S. Securities and Exchange Commission (SEC) over whether its XRP token should be classified as a security, has seen its case gain widespread attention.

In July 2023, Ripple scored a partial victory when a federal court ruled that XRP was not a security when sold on public exchanges. However, the SEC has since appealed this decision, seeking further clarity on XRP's status in the context of institutional sales, which the court deemed securities transactions .

Larsen’s latest $1 million XRP donation comes at a crucial time for both his company and the broader cryptocurrency industry. By backing a major candidate like Kamala Harris, Larsen may be looking to foster a more crypto-friendly regulatory environment.

Ripple's ongoing legal battle with the SEC highlights the industry's concerns around regulatory clarity, and Larsen’s political contributions could reflect a strategic effort to influence future crypto regulations.

This latest donation builds on an earlier contribution from Larsen, who had previously supported Harris with financial backing during her Senate campaigns.

Now, as Harris runs for president, the backing from Ripple’s co-founder could have wider implications, signaling the influence that prominent figures in the crypto space aim to wield over U.S. policy.

Ties Between Ripple’s Legal Battle and Larsen’s Political Involvement

Larsen’s political donations could also be seen as part of a broader push to secure a regulatory framework that is favorable to crypto projects like Ripple.

The legal uncertainty surrounding XRP and other cryptocurrencies has caused significant disruption to the market, with Ripple’s win over the SEC giving the company temporary relief. However, with the SEC’s appeal pending, the outcome of the case remains uncertain .

Crypto advocacy groups and industry leaders are increasingly aligning themselves with politicians who they believe can push for favorable regulation. By positioning himself as a key donor, Larsen could be seeking to influence the policy direction of the next administration, especially as the crypto industry continues to face regulatory challenges in the U.S.

Conclusion

The 2024 election is shaping up to be a defining moment for the cryptocurrency industry. With donations like Chris Larsen’s and increasing crypto advocacy on both sides of the aisle, it’s clear that digital assets are no longer just an economic issue but a political one.

As Ripple continues to fight its legal battles, its founder’s involvement in the political sphere could hint at a future where crypto regulations play a pivotal role in shaping the success or failure of blockchain projects. 

With the XRP ruling hanging in the balance, Larsen's political activities are sure to be closely watched as crypto enthusiasts and regulators alike look for signals on how the regulatory environment might evolve in the coming years.