New Lobbying Firm Emerges to Influence Cryptocurrency and AI Regulations
A newly established lobbying firm, NexusOne Consulting, has sprung up in close proximity to the White House, aiming to address the increasing demand for influence within the burgeoning cryptocurrency and artificial intelligence sectors. Founded by attorney Jeff Ifrah and former Trump attorney Jim Trusty, the firm officially opened this week with a mission to assist tech startups in navigating the rapidly changing regulatory environment in Washington.
Trump’s Directives on Government Efficiency
In a related move, President Donald Trump announced plans to direct Elon Musk and the Department of Government Efficiency to scrutinize specific government departments and agencies, with an assessment of the Pentagon anticipated soon. Trusty, who played a role in Trump’s early federal legal battles in 2023, stated, “NexusOne was launched to give the crypto, AI, and other emerging tech industries a seat at the table.” The firm’s inception coincides with a rising demand for lobbyists linked to the Trump administration.
Increased Political Engagement by Tech Companies
Since Trump’s return to the political spotlight, companies in the crypto and AI sectors have significantly increased their political contributions and enhanced their presence in Washington. Organizations like Kraken, Uniswap, Jump Trading, and Riot Platforms are actively hiring former government officials and Capitol Hill staffers to secure a favorable regulatory framework, according to reports.
Seizing Opportunities in Evolving Tech Policy
Ifrah, who has a long-standing history of representing technology clients, remarked, “Technology is outpacing policy, and that creates both opportunity and risk.” He highlighted that this period presents a unique chance to influence the future of technology regulations, emphasizing that innovators should not merely respond to policies but should actively shape them.
NexusOne’s Focus on Executive Branch Engagement
NexusOne plans to concentrate its efforts on the executive branch, with initial lobbying targets that include the Commerce Department, the White House officials responsible for crypto and AI, and the Office of Science and Technology Policy. The firm also intends to selectively engage with various agencies, such as the Federal Trade Commission and the Securities and Exchange Commission, although Ifrah noted that their primary focus would remain on the executive branch.
Experienced Leadership Team and Advisory Board
The leadership of NexusOne features Ross Branson, a former senior official at the Commerce Department during Trump’s initial term, while its advisory board includes notable conservative figures such as former Oklahoma Governor Mary Fallin, former Education Secretary William Bennett, and Wall Street financier Andrew Graves, known for his fundraising efforts for St. Jude Children’s Research Hospital.
NexusOne’s Policy Agenda and Strategic Initiatives
Ifrah shared some of NexusOne’s immediate policy objectives with the Washington Examiner, aligning them with Trump’s previously stated ambitions in the tech industry. On the cryptocurrency front, the firm aims to advocate for the establishment of a federal strategic digital asset reserve, building on initiatives already underway in states like Texas. Ifrah explained that there is a growing interest in solidifying this reserve and examining stablecoin functionality, suggesting that progress in these areas could materialize by the end of the year.
Proposed Regulations for AI Content
In the realm of artificial intelligence, NexusOne intends to promote new mechanisms for addressing AI-generated content, drawing parallels to Section 230’s notice-and-takedown framework utilized by internet platforms. Additionally, the firm will advocate for stronger consumer protection regulations concerning the use of AI in digital communications, with Ifrah indicating that such legislation is likely to emerge in the near term.
Political Lobbying Intensifies Ahead of 2024 Elections
As the 2024 election approaches, political lobbying related to Big Tech has intensified, with the cryptocurrency sector reportedly investing over $133 million to influence nearly 100 races, according to a lobbying watchdog.
The Stargate Initiative: A National Security Strategy
Among the significant tech initiatives announced during Trump’s second term is the Stargate project, a monumental $500 billion private-sector initiative aimed at ensuring U.S. leadership in artificial intelligence. Supported by organizations such as OpenAI, Oracle, and SoftBank, the Stargate project focuses on developing expansive AI supercomputing infrastructure to compete with China’s rapidly advancing technology sector. Trump has framed this endeavor as essential to national security, asserting that maintaining American dominance in AI is crucial to prevent China from surpassing the U.S. in technological and military advancements.
NexusOne’s Strategic Role in the New Economy
Trusty expressed confidence in NexusOne’s potential to effectively bridge the gap between the Executive Branch and private industry, stating, “We are perfectly positioned to help both the Executive Branch and private industry understand and appreciate each other’s roles and abilities in forging the new economy.”
