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TEXXR

Chronicles

The story behind the story

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The crypto industry's impact on the 2024 US elections shows that crypto is a perfect anti-establishment technology for the turbulence and distrust of the 2020s

An anti-establishment technology for an anti-establishment age  —  For years, crypto skeptics have asked, What is this for? Mastodon: @carnage4life@mas.to . Threads: @cwarzel Mastodon: Dare Obasanjo / @carnage4life@mas.to : The legacy of crypto isn't a technology revolution but instead that it created a culture where get rich quick mentality, grifting and Ponzi schemes were a virtue.  Then made these people rich enough that they could influence elections.  —  That and being the financial instrument for ransomware payments. … Threads: Charlie Warzel / @cwarzel : I wrote about crypto.  The knock has been that the technology has few use cases.  But, post-election I think crypto's legacy is clearer.  Its killer app is creating a money/influence flywheel for a specific type of reactionary anti-institutionalist to influence politics. …

The Atlantic Charlie Warzel

Context & Ripple Effects

Crypto’s political role did not emerge overnight: earlier coverage traced resistance to crypto lobbying around Bitcoin-linked ETFs, while pre-election reporting described crypto-focused PACs targeting key congressional races.

This article interprets the election outcome as part of a broader legitimacy problem. Post-election coverage had already characterized crypto as an unusually effective special interest in an era of unlimited corporate spending, giving the industry’s anti-institutional appeal a concrete political channel.

First-order effects

  • Crypto companies and aligned political groups gain a clearer demonstration that concentrated election spending can translate their policy interests into political access.
  • Candidates and officeholders face a more organized crypto constituency whose influence is tied not just to financial policy, but to anti-establishment political messaging.

Second-order effects

  • Crypto policy debates are more likely to be contested through campaign infrastructure and electoral pressure, rather than solely through regulators or technical arguments about the technology.
  • The industry’s political visibility can deepen its legitimacy gap: election influence may win access while intensifying scrutiny of the sector’s incentives and credibility.

Third-order effects

  • If this pattern persists, crypto could become a durable political-finance constituency whose economic interests and distrust-based rhetoric reinforce one another, reshaping how digital-asset policy is made.
  • The larger institutional consequence is a policy environment in which trust in financial and regulatory systems becomes a competitive political asset, not merely a backdrop to technology adoption.

The trend: Crypto is evolving from a contested financial technology into an organized political force that converts anti-institutional sentiment and industry wealth into policy influence.

Discussion

  • @cwarzel Charlie Warzel on threads
    I wrote about crypto.  The knock has been that the technology has few use cases.  But, post-election I think crypto's legacy is clearer.  Its killer app is creating a money/influence flywheel for a specific type of reactionary anti-institutionalist to influence politics. …