Congress’s Crypto Traders: The U.S. Lawmakers Who Buy and Sell Digital Currencies

Although not as prominent as stock trading, several members of Congress engaged in crypto trading back in 2021, Analysis conducted by 2iQ Research's Capitol Trades revealed that seven lawmakers or their family members disclosed transactions involving cryptocurrencies in that year. In contrast, over 100 lawmakers were believed to have traded nearly $355 million in individual stocks. 

Despite the relatively small number of traders, the ones who engaged in crypto trading demonstrated quite a positive outlook. Most of the lawmakers reported either no crypto sales or more purchases than sales. Interestingly, this reading coincided with Bitcoin's (BTC:US) impressive 60% surge in 2021.

Additionally, the majority of crypto traders were Republicans, with only one Democrat among the seven politicians involved. The emergence of crypto trading among lawmakers coincided with increased scrutiny of the crypto sector in Washington, D.C.

In terms of dollar volume, Representative Mark Green and Senator Cynthia Lummis topped the list of the largest crypto traders on Capitol Hill. Mr. Green's trades amounted to an estimated $128,000, with $72,000 in purchases and $56,000 in sales. In total, he conducted 16 transactions involving cryptocurrencies like Ethereum Classic (ETC:US), Dogecoin (DOGE:US), Chainlink (LINK:US), and Celo (CELO:US). Green's office didn't respond to requests for comment, but his spokesperson back then stated that an investment manager handled his investments independently.

Moreover, Senator Lummis, an outspoken advocate for virtual currencies made only one transaction, purchasing Bitcoin. Lummis' spokesperson explained that the senator viewed Bitcoin as a commodity and invested in it as part of a well-diversified asset portfolio. The spokesperson emphasized that all investments were made in compliance with ethics laws and after consulting the Senate Ethics Committee.

When questioned about their cryptocurrency trading, another crypto trader, Senator Pat Toomey's spokesperson explained that crypto assets were part of his diversified investment portfolio, constituting less than 1% of his overall investments. Representative Mike Waltz of Florida expressed support for crypto investments both from an investment and public policy standpoint. He cited reasons such as hedging against inflation, providing access to capital for underserved populations, and promoting supply chain transparency. Democratic Representative Marie Newman disclosed that her husband conducted crypto trades as part of their savings and investment strategy, primarily driven by public information.