Chris Larsen, co-founder and executive chair of Ripple Labs, was reportedly among those backing the financial venture of US Senator Kirsten Gillibrands son as negotiations over a significant piece of crypto-related legislation continue in the Senate.
According to a Thursday Politico report, Larsen was one of a handful of investors backing the American Perpetuals Exchange Corp. (APEC), founded by Theodore Gillibrand. Although Larsens exact contribution was not included in the report, the majority of investors contributed between $5,000 to $10,000 each into the derivatives platform, which reportedly raised $30 million.
The investment comes as the New York lawmaker is involved in negotiations over ethics provisions in the Digital Asset Market Clarity (CLARITY) Act, legislation expected to have a significant impact on crypto companies operating in the US, including Ripple. Gillibrand said in May that no one would be voting for the bill without addressing ethics:
“[T]he truth is, is that we cannot allow members of Congress, senior administration officials, presidents or vice presidents, to get rich off of these industries because of their insider status. It is the worst form of pay for play.”
A spokesperson for the senator referred Cointelegraph to her June 18 statement saying that her son was “a grown adult starting his own independent business” and she had “no involvement in it whatsoever.” Cointelegraph reached out to APEC for comment but did not receive an immediate response.
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Democratic lawmakers have been pushing Republicans, who hold a majority in Congress, to support efforts to add ethics language to the CLARITY Act, citing US President Donald Trumps ties to the crypto industry. Republican leaders in the Senate are expecting the bill to pass the chamber in July, with Senator Cynthia Lummis saying in June that lawmakers were “working a little bit on ethics,” decentralized finance and illicit transactions as part of negotiations.
Senate Republicans hold a slim majority in the chamber, meaning they will need some Democratic support to meet the 60-vote threshold for CLARITY to pass.
Congressional schedule squeezes window for CLARITY bill
Lawmakers in the US Senate are on state work periods for the Independence Day holiday. Scheduled to return to session on July 13 and leave for another month-long state work period in August, the window to pass crypto market structure is closing before US election day, which is expected to result in additional delays.
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