Washington, D.C., legislators will also be exposed to crypto messages this week, thanks to Coinbase’s (COIN) new campaign, which is part of an industry-wide effort to influence U.S. policies.

The efforts of Coinbase CEO Brian Armstrong, and Messari CEO Ryan Selkis in building a well-funded campaign to steer future crypto regulations will land in an American capital that is still trying to swallow up the disasters this fledgling industry has provided over the past couple of years.

The narrative that crypto lobbyists had hoped to tell U.S. legislators in 2022 was thrown into chaos. This was largely due to the sector’s business failures and frauds. It also included consumer harms. One in three members of Congress received money from FTX executives. Many of these members have also had to deal with embarrassing questions, and they struggled to return tainted funds.

Crypto lobbyists are facing a tough challenge as they rebuild congressional relationships and get ready for the presidential election. “Paint an optimistic picture of the future, and downplay negative news stories of the past year without pretending they never happened,” said Ian Katz. Katz is a managing partner at Capital Alpha Partners which analyses policy developments in Washington.

When asked if the company was considering the problems of recent years as it promotes its campaign, a spokesperson for Coinbase did not answer. The spokesperson instead said that Coinbase was working with policymakers and regulatory agencies to ensure crypto regulation is done correctly – and make sure they know the risks associated with getting it wrong.

Armstrong’s face appears in black and white TV commercial spots on Washington area broadcasts. They will carry the tagline “It’s Time to Update the System.”

Coinbase, which is linking this campaign to a previous initiative known as Crypto435 in order to influence lawmakers directly in all 435 congressional district, has also painted an armored vehicle with a custom paint job. The vehicle, which is used to transport hard currency from and to banks and businesses, will be driving around Wall Street with the words “With Crypto this whole thing fits in your pocket.” The company plans to cover the New York financial center with crypto messages.

The campaign reminds us of the previous attempts by Gemini, who adorned taxis and train station banners with “The Revolution Needs Rules”, and Grayscale which aimed to convince investors to approve its Grayscale Bitcoin Trust as an exchange-traded product.

According to a source familiar with the matter, Selkis, a well-known crypto investor and entrepreneur, is set to launch The Digital Freedom Alliance by the end of next month. Selkis had first proposed the idea of a decentralized group that would support crypto policy in 2017. He took to Twitter last year to encourage a grassroots effort.

In a letter he sent to top House Financial Services Committee lawmakers who have been working on crypto-legislation, he urged them to move quickly. The same letter was sent to other members of Congress who are interested in crypto.

Selkis also published the same letter on Twitter. The posts were removed from Selkis’ page. Digital assets technology won’t be forgotten. “It has too much promise and is too well established.”

He described his letter as “a first-step, but there’s much more to be done in the coming battles.”

Recent crypto hearings in Capitol Hill revealed a clear division between the two parties. The industry, which has always prided itself on being unbiased and free of partisan politics, was clearly divided. Republican lawmakers are more likely to support digital asset businesses while Democrats align themselves with the crypto-skeptical heads of U.S. Financial Agencies. There is some cross-party cooperation on current legislative efforts.

Katz stated that “some lawmakers will continue defending the industry but many don’t believe it.” “And, the industry’s influence on policy has decreased, particularly with current regulators.

Barron’s reported Selkis is hoping to build a political action committee in order to influence crypto legislation. He hopes to raise tens millions of dollars.

Sam Bankman Fried, the former CEO of FTX who is now disgraced, also followed a similar playbook. It’s hard to gauge the impact of this widespread campaign generosity, since FTX blew out before Congress began its session in 2018. Bankman-Fried is now being prosecuted by the federal government for allegedly violating campaign finance laws. Selkis would be entering a climate like this.

Brett Quick, the head of government affairs for the Crypto Council for Innovation, said that “repair of any damage caused over the last year will happen through a process of better engagement and better understanding with legislators who are working on this issue.” It’s going to take a while to rebuild any lost trust.

She said that there is “wide recognition” in Washington of the fact that the FTX failure was a fraud, not about technology. Industry representatives are still walking on the broken glass in order to explain their agenda. She said that the crisis has highlighted the need for the “cop on duty” that crypto businesses had been asking for.

Quick explained that while the day-today lobbying is happening, millions of crypto users in the U.S. are anxious to ensure that Congress hears their views that “we want it to stay here and we want robust rules,” which explains business leaders’ efforts to create grassroots campaigns. She argued that there is room for both – lobbyists’ normal interactions in Washington and whatever industry leaders have planned.

She said, “They are not mutually exclusive.”

Nikhilesh De.