Political Heavyweight Exits Crypto Firm—Here’s Why It’s Shaking the Industry

A major political player just walked away from a leading crypto firm—and the move signals deeper tremors across digital asset markets.

Behind the Resignation

Sources say the departure wasn’t just personal—it was strategic. High-profile exits often precede regulatory scrutiny or internal overhauls, especially in an industry still wrestling with legitimacy.

Timing and Implications

The exit comes as global regulators circle crypto like hawks. When a political heavyweight jumps ship, it’s rarely a coincidence. Think dropped hints, shifting alliances, or preemptive damage control.

Market Reactions & Ripple Effects

Traders hate uncertainty—and nothing spells uncertainty like a surprise resignation. Watch for short-term volatility, especially among tokens tied to regulatory news or policy influence.

Long-Term Ramifications

This isn’t just about one exec. It’s about credibility. Crypto firms lean on political clout to sway policies and dodge crackdowns. Lose that leverage, and you’re just another speculative asset waiting for the next FSA bulletin to tank your valuation.

One thing’s clear: in crypto, politics is still the ultimate insider token—and it’s not always HODL-friendly.

Copper’s ambition has long been to provide services that help hedge funds, venture capital firms and deep-pocketed individuals gain exposure to crypto in a secure and compliant way.

Yet despite the recent boom in crypto prices, the company has been struggling to achieve profitability. Net losses totaled $84.1 million in 2022 and narrowed to $62.1 million in 2023, with numbers for 2024 yet to be filed with Companies House.

Another unwelcome piece of publicity came in March last year, when it emerged that guests at an event hosted by Copper at a five-star hotel were served sushi from the bodies of two partially naked models.

Photos were later obtained by the Financial Times, with a source close to the company telling the newspaper that the incident was “more performative art than anything seedy” — and Hammond wasn’t in attendance.

Two days later, the company admitted in a statement that the incident has been “embarrassing” and its executives had missed the mark.

“We recognise that certain aspects of the event have caused offence and do not reflect Copper’s corporate values.”

Copper went on to confirm that it planned to perform an internal review into how it organizes events, with the incident shedding an unwelcome light on the excesses of the crypto industry — especially during bull markets.

But back to the situation with Lord Hammond. Mark Kleinman’s reports suggest he will remain a shareholder in Copper — and yep, you guessed it, “an experienced American finance executive” will replace him by the end of this year.

Decentralization is a key tenet of the digital assets space, eliminating a single point of failure that means everything can come crashing down in the blink of an eye. Unfortunately, that’s kind of what we’re starting to see in this industry. Donald Trump’s arrival in the WHITE House means there’s a slew of crypto firms now racing to set up shop in the U.S. — either by headquartering there or throwing a box office initial public offering on the stock market.

This could cause headaches for the sector later on. What if the Republicans fail to win the next presidential election, with a Democrat who’s less enthusiastic about crypto taking their place? An aggressive regulatory clampdown years down the track could lead to a plethora of hasty relocations to friendlier jurisdictions.

The U.K. is falling behind, and needs to step up efforts to attract crypto firms. Hammond’s departure from Copper is a sign that his experience, contacts book and influence has failed to open the necessary doors in this country.