Coinbase Fires Back at Senator’s “Corruption Factory” Accusation Over White House Ballroom Donation
- Why Is Coinbase Under Fire for Political Donations?
- What’s the Truth Behind the White House Ballroom Funding?
- How Did the SEC Lawsuit Disappear?
- Are Crypto Super PACs Really Bipartisan?
- What’s Next for Crypto Political Influence?
- Your Burning Questions Answered
In a fiery response to Senator Chris Murphy's allegations, Coinbase has defended its $46 million political donations and White House ballroom funding as standard bipartisan practices. The crypto exchange faces mounting scrutiny over its ties to Trump-era initiatives, including a controversial $300 million East Wing renovation project backed by tech giants. Here's the full breakdown of this high-stakes political drama shaking the crypto world.
Why Is Coinbase Under Fire for Political Donations?
The storm began when Senator Murphy took to X (formerly Twitter) on October 30, 2025, accusing Coinbase of being part of Trump's "corruption factory." The senator pointed to three smoking guns: $46 million in donations to TRUMP allies, inauguration contributions, and the White House ballroom project. "When the SEC mysteriously dropped its case against Coinbase, and suddenly they're writing checks for marble floors in the East Wing, Americans deserve answers," Murphy tweeted.
What’s the Truth Behind the White House Ballroom Funding?
Coinbase's policy chief Faryar Shirzad clarified that their $250,000 donation went through the Trust for the National Mall, a nonprofit managing the 90,000 sq ft renovation. "We're proud to support American heritage projects," Shirzad stated, noting Apple, Amazon, and Microsoft also contributed. The budget ballooned from $200M to $300M due to added security features, requiring demolition of the historic East Wing.
How Did the SEC Lawsuit Disappear?
The senator suggested Coinbase got favorable treatment when the SEC dropped its enforcement action. Shirzad countered: "The previous administration's cases against us, Ripple, and Kraken were politically motivated overreach." Data from TradingView shows Coinbase stock (COIN) jumped 18% post-SEC withdrawal, though analysts at BTCC caution this aligns with broader crypto market trends.
Are Crypto Super PACs Really Bipartisan?
Murphy took aim at Fairshake, a crypto Super PAC funded by Coinbase and others. Shirzad emphasized: "From Obama to Biden to Trump, inaugural committees have always taken corporate donations." Campaign finance records show Fairshake spent $28 million supporting both Democratic and Republican candidates in 2024 midterms.
What’s Next for Crypto Political Influence?
This isn't Coinbase's first Trump-adjacent controversy. They previously sponsored the U.S. Army's 250th anniversary parade coinciding with Trump's birthday. With seven Democratic senators now questioning Trump's pardon of Binance's CZ, the crypto industry's political ties face unprecedented scrutiny. As one lobbyist told me: "We're not buying influence - we're buying a seat at the table."
This article does not constitute investment advice. Market data sourced from CoinMarketCap as of November 2025.
Your Burning Questions Answered
Why did Coinbase donate to the White House ballroom?
Through the Trust for the National Mall, not directly to political figures. Similar to how corporations fund Smithsonian renovations.
Did the SEC drop the case unfairly?
Coinbase argues the case lacked merit, noting parallel dismissals for Ripple and Kraken under the new administration.
How much has Coinbase spent politically?
$46 million in 2024 elections via Fairshake PAC, plus undisclosed amounts for inaugural events and policy initiatives.
