Original Title: 《Nearly $300M Targets U.S. Midterm Elections, as Tether Executives Take the Helm of Crypto’s Second-Largest Political Fund》

Original Author: Deep Tide TechFlow

Deep Tide Briefing: After being founded for seven months and claiming it has raised more than $100 million but has yet to spend a single dollar, crypto super PAC Fellowship announced on Wednesday that it has appointed Jesse Spiro, Tether US’s Deputy Vice President for Regulatory Affairs, as chair. This is the first time an official, publicly disclosed connection has been established between Tether and the PAC. Meanwhile, another major crypto PAC, Fairshake, already has $193 million in ammunition; together, the nearly $300 million in political funds from the two PACs are targeting the midterm elections in November, while the legislative standoff in Congress over stablecoin yield remains unresolved.

The political arms race in the crypto industry is escalating.

According to a report by Cointelegraph on April 1, Fellowship PAC announced on Wednesday that Jesse Spiro, Tether US’s Deputy Vice President for Regulatory Affairs, will serve as chair of the organization, leading its next phase of expansion, and will publish its first list of candidate endorsements within the coming days. Fellowship is a super PAC founded in August 2025, which last September claimed it had raised “more than $100 million” from unnamed donors aligned with the crypto industry.

In a statement, Spiro said: “This is a pivotal moment for American innovation. We have the opportunity to ensure the United States continues to be a global hub for builders, entrepreneurs, and technological progress. Fellowship PAC is committed to supporting leaders who understand the stakes and are willing to take action.”

From “denying any affiliation” to “executives in charge,” the Tether–Fellowship relationship comes into view

Since Fellowship PAC made a high-profile debut last September, the identity of its main backer has been one of the industry’s biggest mysteries.

When the PAC was formed, it did not disclose any executives, donors, or key employees. Early reports listed Tether as a likely supporter, but Tether International later officially denied any connection to the PAC. According to CoinDesk’s February report, a Tether International spokesperson explicitly stated that “Tether International has no affiliation with Fellowship.”

But FEC records tell a different story. Fellowship’s treasurer, Mitchell Nobel, is an executive at Cantor Fitzgerald—which is the custodian that manages Tether’s tens of billions of dollars in reserves. The PAC’s registered address is in Bethesda, Maryland.

Now, an incumbent Tether US executive has officially become chair of the PAC, and the earlier rumors have finally been settled into public record. As reported by BeInCrypto, this marks the first formal, publicly disclosed association between Fellowship PAC and Tether.

Spiro joined Tether in 2024 as the head of government affairs. Before that, he handled regulatory relationships for blockchain and digital assets at PayPal. Earlier still, he held a government affairs leadership role at the blockchain analytics firm Chainalysis.

A $100 million “ammunition stockpile” fired zero rounds so far, with FEC records showing no spending

Despite Fellowship’s claim that it has $100 million in funds, FEC records show that, as of December 31 last year, the PAC had reported no donation income or expenditures. Since the launch event last September, Fellowship has published only three public statements on the X platform—running almost “in stealth mode.”

This mismatch has sparked widespread skepticism. In its investigation report dated February 25, CoinDesk noted that since Fellowship was established seven months earlier, it “has never shown up,” and there is no trace of the $100 million it pledged in federal election commission disclosures.

Spiro’s appointment is seen as a signal that Fellowship is returning to the public spotlight after a quiet period. The PAC said it will publish its first batch of candidate endorsements in the coming days, with more than seven months remaining until the November midterm elections.

Bo Hines, Executive Director of the White House’s Digital Asset Advisory Committee, voiced support for the appointment on X, writing: “The fight for American innovation needs serious advocates. Looking forward to seeing leaders who truly understand the stakes get elected.”

Crypto PAC arms race: Fairshake has $193 million, already puts down $8.6 million in Illinois

Fellowship is not the only political money machine in the crypto industry. Fairshake PAC and its affiliated entities—supported by Coinbase, Ripple, and a16z—reported holding $193 million in cash as of this January, making them the largest super PAC by funding scale in the crypto industry.

Fairshake has already taken practical action. According to Cointelegraph, the PAC and its affiliated organizations have spent roughly $8.6 million in Illinois congressional elections, which is six times its spending in the state in 2024. In the Illinois primary in March, some Fairshake-backed candidates failed to win, but there is still a seven-month window before the midterm elections.

During the 2024 election cycle, Fairshake spent more than $130 million on media buys, supporting over 50 candidates, most of whom were elected successfully. According to nonprofit watchdog Public Citizen’s statistics, among corporate funds flowing into the 2024 elections, nearly half came from the crypto industry.

Now, with Fellowship and Fairshake’s combined nearly $300 million ammunition stockpile, plus other political donation forces in the crypto industry, the 2026 midterm elections are poised to become a new record for industry political spending.

Legislative battle in the shadows: stablecoin yield controversy stalls the CLARITY Act, with Tether’s interests at stake

The timing of Spiro’s appointment is not coincidental. The crypto industry’s most central legislative priority, the Digital Asset Market(s) Clarity Act (CLARITY Act), is stuck in a Senate stalemate, and one of the key points of dispute is stablecoin yield—directly affecting Tether’s business model.

The CLARITY Act passed the House in July 2025 by a vote of 294 to 134, and was considered by the Senate Agriculture Committee earlier this January. But at the Senate Banking Committee level, fierce conflict has emerged between the banking industry and the crypto industry over whether stablecoins can pay yield to users.

On March 20, Senators Thom Tillis and Angela Alsobrooks reached a principle-level compromise on stablecoin yield: banning passive-yield payments based on holding balances, but allowing reward programs based on transaction activity. According to CoinDesk, after crypto industry representatives privately reviewed the latest language on Capitol Hill on March 23, they believed the wording was too narrow and ambiguous. Coinbase has stated twice that it does not support the current draft.

The Senate Banking Committee’s markup is currently scheduled to take place after the Easter recess later in April. Senator Bernie Moreno warned that if the bill cannot move forward before May, crypto legislation may no longer receive serious consideration during the midterm election cycle.

To make matters worse, on March 26, the White House AI and crypto czar David Sacks confirmed that his 130-day term had ended and that the government would not appoint a successor. During the final crucial push of the crypto legislative sprint, progress will have to be made without the White House’s chief advocate.

Tether’s issued USDT is the world’s largest stablecoin, with a market cap of about $184 billion, but it is not available to U.S. residents. Tether rolled out a compliant stablecoin, USAT, for the U.S. market last year. The final outcome of the stablecoin yield provisions will directly determine the operating space for Tether and its competitors in the U.S. market.

Against this backdrop, by putting executives in charge as PAC chair, Tether is shifting political influence from behind the scenes to center stage—a clear signal that in the crucial legislative window, political money will be used to protect industry interests.

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