The Daily: a16z crypto pledges $23 million to Fairshake, Coinbase accused of charging substantial 'listing fees' and more

I hope you had a good weekend, folks. In today's Daily, a16z crypto pledges $23 million to Fairshake, Coinbase is accused of charging substantial "listing fees," Zodia Custody is reportedly in talks to raise $50 million and more.

Meanwhile, ahead of Tuesday's U.S. election, analysts at Bernstein said they would expect bitcoin to reach $80,000 to $90,000 following a Trump win in the run-up to inauguration day on Jan. 20, while warning a Harris victory could see bitcoin drop to $50,000 over the same period before any recovery.

Let's get started.

a16z crypto pledges $23 million to Fairshake

a16z crypto, the web3 venture capital arm of the investment firm Andreessen Horowitz, pledged over $23 million to Fairshake and its affiliated political action committees to support pro-crypto candidates ahead of the 2026 U.S. midterm elections.

• The funding is part of the company's commitment to back legislators focused on creating a clear regulatory framework for the crypto industry and enabling growth while protecting consumers, a16z crypto founder and Managing Director Chris Dixon said in a Monday blog post.
• Dixon emphasized the urgent need for Congress to establish a robust digital asset regulatory framework to maintain U.S. leadership in global tech innovation.
• a16z’s support will extend across party lines to encourage bipartisan efforts to advance crypto-friendly policies regardless of Tuesday's U.S. presidential election outcome.
• The firm's broader advocacy strategy also plans to introduce policymakers to blockchain entrepreneurs and builders to highlight industry challenges and advocate for clearer regulations.
• Fairshake has emerged as a key player in political fundraising, having collected over $200 million this election cycle, with contributions from major crypto firms, including Ripple and Coinbase.

Coinbase accused of charging substantial 'listing fees'

Tron founder Justin Sun and Sonic Labs co-founder Andre Cronje accused Coinbase of charging substantial "listing fees" despite the crypto exchange's CEO Brian Armstrong recently reasserting that its asset listings are free.

• "Coinbase has asked us for; $300m, $50m, $30m, and more recently $60m. Lots of respect. But this is simply not true," Cronje said on Sunday in response to Armstrong.
• Cronje acknowledged that Coinbase could argue it was a fee related to its Earn marketing program rather than a "listing fee" but alleged that translated into the "cost to be listed” anyway.
• Following Cronje’s comments, Tron founder Justin Sun made similar claims on Monday, citing specific demands, including 500 million TRX and a $250 million bitcoin deposit to Coinbase Custody.
• Coinbase did not return a request for comment from The Block.

Standard Chartered-backed Zodia Custody in talks to raise $50 million

Standard Chartered-backed digital assets custodian Zodia Custody is planning to raise $50 million in a new funding round to expand its services and enter new markets, Bloomberg reported.

• Zodia Custody CEO Julian Sawyer said the firm is seeking to diversify its investor base by attracting participation from payment and tokenization companies in a new fundraising effort following its $36 million raise in April 2023.
• In June, Zodia Custody partnered with asset manager 21Shares to provide custody for crypto exchange-traded products in Switzerland and Europe.
• Standard Chartered remains Zodia Custody's majority investor, with other backers including Northern Trust, SBI Holdings and National Australia Bank.

Michigan's state pension fund discloses over $10 million worth of Ethereum ETF holdings

The State of Michigan Retirement System disclosed a $10 million investment in Grayscale's spot Ethereum ETF , becoming the first pension fund to invest in the financial instrument since its launch in July.

• Per a 13F filing with the SEC, Michigan's pension fund holds 460,000 shares in ETHE, making it a top-five holder, according to VanEck's Matthew Sigel, and also has $1.1 million worth of shares in the Grayscale Ethereum Mini Trust ETF, ETH.
• U.S. states and pension funds, like those in Wisconsin and Florida, have also made crypto-related investments in recent years, with the State of Michigan Retirement System previously disclosing it owned about $7 million in spot Bitcoin ETFs.
• "Not only did Michigan's pension buy ether ETFs, but they bought more than they did of bitcoin ETFs ... despite BTC being up a ton and ether in the gutter," Bloomberg Senior ETF Analyst Eric Balchunas said. "Pretty big win for ether which could use one."

Solana sees highest monthly active addresses, surpassing 120 million

Solana reached a record high of over 123 million active addresses in October , an increase of more than 42% from September, driven by a surge in memecoin trading.

• Platforms like token launcher Pump.fun and decentralized exchange Raydium significantly contributed to the activity, generating over $30 million in revenue and processing $30 billion in trade volume during the month, respectively.
• Solana's low-fee, high-performance network continues to attract users and traders seeking fast, affordable transactions, positioning it as a competitive alternative to Ethereum, Keyrock's Justin D’Anethan told The Block.

In the next 24 hours

• It's Election Day in the United States on Tuesday.
• ECB President Christine Lagarde will speak at 9:30 a.m. ET.

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