Crypto-backed Michigan House incumbent loses primary despite $2M PAC support

cointelegraph2026-08-05 tarihinde yayınlandı2026-08-05 tarihinde güncellendi

Özet

Michigan State Representative Donavan McKinney defeated incumbent Congressman Shri Thanedar in a Democratic primary for Michigan's 13th Congressional District. The race drew attention due to over $2 million in media spending from Protect Progress, a cryptocurrency-backed super PAC affiliated with Fairshake, which aimed to re-elect Thanedar. Thanedar had a pro-crypto voting record in Congress. McKinney, a progressive challenger, accused the crypto industry of trying to "pay back" his opponent. Despite the heavy PAC support, McKinney won with 51.9% of the vote. In a related development, a Fairshake affiliate spent over $65,000 supporting Republican Amanda McKinney in a Washington state primary.

Michigan State Representative Donavan McKinney won a Democratic primary against incumbent House Representative Shri Thanedar in a race that raised accusations of payback by the cryptocurrency industry.

McKinney won the primary for Michigan’s 13th Congressional District with 51.9% of the vote against Thanedar’s 48.1% as of Wednesday, the New York Times reported. The primary saw a cryptocurrency-backed political action committee (PAC) spending more than $2 million on media in an attempt to re-elect Thanedar, who has voted in favor of many bills favoring the industry while in Congress.

Election results for Democratic primary in Michigan’s 13th congressional district. Source: The New York Times

McKinney, considered by many to be a progressive challenger to two-term Thanedar, has already received support from the Democratic National Committee and the Democratic Socialists of America on his primary victory. During the campaign, he accused the crypto industry of “paying my opponent back for helping Trump make over $1 billion since taking office,” likely referring to Thanedar’s voting record.

Protect Progress, the super PAC responsible for funding the ads supporting Thanedar and opposing McKinney, is affiliated with Fairshake, a group backed primarily by crypto companies Coinbase and Ripple. After spending more than $170 million in the 2024 US election cycle on similar races involving pro- and anti-crypto candidates, Fairshake and its affiliates have poured additional millions of dollars into media for politicians in this year’s primaries in several US states ahead of the November general election.

Related: Nigel Farage to resign from UK Parliament amid crypto “gift” scandal, will stand in by-election

In addition to voting for bills like the GENIUS Act and CLARITY Act in the House of Representatives, Thanedar also reportedly lost more than $600,000 in the second quarter of 2026 after investing $3.7 million of campaign funds into crypto companies.

”Washington has spent too long serving billionaires and corporate interests,” said McKinney in a Wednesday X post. ”I will always only serve the people I represent.”

McKinney will face off against Republican candidate Taras Nykoriak in the November election. Cointelegraph sought a comment from McKinney’s campaign on Wednesday but did not receive an immediate response.

PAC-supported candidate wins Washington primary

In addition to Protect Progress’ efforts in Michigan, the Fairshake affiliate Defend American Jobs spent more than $65,000 on media to support Republican Amanda McKinney (no relation to the Michigan candidate) in Washington’s 4th congressional district. McKinney will face off against Democrat John Duresky in November, with both candidates securing more than 30% of the vote in Tuesday’s primary to advance to the general election.

Magazine: Here’s why the CLARITY Act’s ethics deal may be so hard to reach

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İlgili Sorular

QWho won the Democratic primary in Michigan's 13th Congressional District and by what margin?

AMichigan State Representative Donavan McKinney won the Democratic primary against incumbent Shri Thanedar, with 51.9% of the vote to Thanedar's 48.1%.

QWhat was the role of the cryptocurrency industry in the Michigan primary race according to the article?

AA cryptocurrency-backed political action committee (PAC) named Protect Progress, affiliated with Fairshake (backed by Coinbase and Ripple), spent more than $2 million on media in an attempt to re-elect incumbent Shri Thanedar, who had a pro-crypto voting record.

QHow did candidate Donavan McKinney characterize the crypto industry's support for his opponent?

AMcKinney accused the crypto industry of 'paying my opponent back for helping Trump make over $1 billion since taking office,' linking it to Thanedar's voting record.

QWhat significant financial loss did incumbent Shri Thanedar reportedly suffer related to his campaign funds?

AShri Thanedar reportedly lost more than $600,000 in the second quarter of 2026 after investing $3.7 million of his campaign funds into cryptocurrency companies.

QIn which other state's primary did a Fairshake affiliate get involved, and which candidate did it support?

AIn Washington's 4th congressional district, the Fairshake affiliate Defend American Jobs spent over $65,000 on media to support Republican candidate Amanda McKinney (no relation to the Michigan candidate).

İlgili Okumalar

Bitwise: Cryptocurrency Market Will Grow Even If the CLARITY Act Fails

Matt Hogan, CIO of Bitwise, provided a detailed commentary on the CLARITY Act, a U.S. cryptocurrency regulation bill. He notes that according to Senate rules, a cloture motion was needed by August 5th for the bill to have a chance of a vote before the summer recess. The common view is that if Congress doesn't vote before the recess, the bill is effectively dead as legislators shift focus to the November elections. However, Hogan believes a failure this week doesn't mean the end of the CLARITY Act; instead, it would enter a state of limbo, with potential discussion resuming in September or December. The current uncertainty is already keeping some professional investors on the sidelines, wary of a potential market crash if the bill fails. He suggests the best market outcome would be the Act's passage, potentially launching a new crypto bull market. Yet, Hogan argues the crypto industry will advance regardless. SEC Chairman Paul Atkins recently stated the SEC is prepared to develop rules addressing the same issues as the CLARITY Act. Hogan thinks such SEC rules could even be more favorable to crypto and innovation in the short term, though a future administration could appoint a less friendly SEC chair to reverse them. Ultimately, Hogan is confident that no SEC chair can halt the industry's progress, citing major developments like BlackRock's profitable Bitcoin ETF, moves by Nasdaq and JPMorgan toward asset tokenization, and partnerships between Visa, Mastercard, Stripe, and Coinbase. He draws a parallel to the 1994 telecommunications reform that died in the Senate, while the internet (Netscape, Amazon, eBay) launched anyway, with Congress catching up two years later without significantly slowing progress. Hogan concludes that cryptocurrency already has sufficient momentum to transform finance for decades, irrespective of the immediate legislative outcome.

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