Ripple Co-founder and Executive Chairman Chris Larsen's endorsement of Vice President Kamala Harris for U.S. President has sparked discussions, particularly due to Ripple's significant financial involvement in U.S. elections and its ongoing legal battle with the SEC. Larsen joins 87 other corporate leaders in backing Harris, though Ripple's contributions have largely leaned towards pro-crypto candidates across both major political parties. The political endorsement underscores potential divides among corporate leaders as crypto policy becomes a focal point for both Democrats and Republicans, with former President Donald Trump showing increasing support for the digital asset space.

Chris Larsen Endorses Kamala Harris for U.S. Presidency

Chris Larsen, the co-founder and executive chairman of Ripple, is among the 88 corporate leaders who have endorsed Vice President Kamala Harris to be the next U.S. President. In a letter released on Friday, high-profile CEOs from companies like Yelp, Box, and Snap also expressed their support for Harris. The letter, reported by CNBC, emphasizes the belief that Harris will advance policies that promote fairness, stability, and a sound business environment.

Ripple's Campaign Contributions and Political Alignments

Ripple and its CEO, Brad Garlinghouse, have been strategically targeting prominent Democrats in their campaign contributions. The company has given significantly to pro-crypto super political action committees (PACs) like Fairshake, which aims to elect crypto-friendly candidates from both major parties. Ripple Labs has been one of the primary backers of Fairshake, contributing approximately $48 million to influence the 2024 elections.

Garlinghouse’s Contributions Leaning Toward Republicans

Despite the general bipartisan approach, Ripple's contributions have at times leaned toward Republicans. Specifically, Ripple’s CEO Brad Garlinghouse personally donated $50,000 to a super PAC aimed at building a Republican Senate majority. This donation, coupled with efforts to oppose crypto critic Sen. Elizabeth Warren (D-Mass.), suggests that Garlinghouse's political sympathies may not entirely align with the Democratic endorsement made by Chris Larsen. However, the company as a whole continues to navigate both political spheres.

Ripple’s Legal Battle with the SEC: A Foundational Case

Ripple has been embroiled in a high-stakes legal battle with the U.S. Securities and Exchange Commission (SEC), which accuses the company of violating securities laws in its sales of the token XRP. This case has become a cornerstone in the ongoing dispute over how cryptocurrencies should be regulated in the U.S. Notably, the regulatory approach of SEC Chair Gary Gensler aligns with Sen. Warren's perspective, positioning Ripple at odds with the current regulatory framework.

The Industry's Growing Support for Donald Trump

While Ripple’s leadership has shown bipartisan support, the broader crypto industry has leaned towards former President Donald Trump in recent months. Trump, who previously exhibited skepticism towards digital assets, has embraced crypto in his current campaign, vowing to make the U.S. the global hub for crypto if re-elected. In a speech delivered in New York, Trump reaffirmed his intent to foster a crypto-friendly environment, further strengthening his ties to the industry.

Kamala Harris' Evolving Crypto Policy

Though Kamala Harris has not made her stance on crypto policy as explicit as her opponent Trump, there are indications that her campaign will support policies encouraging the growth of the crypto sector. According to insiders, one of Harris' supporting PACs is exploring options to allow digital asset donations to her campaign, a move that signals her campaign’s willingness to engage with the crypto community as the industry continues to gain political traction.