On July 19th, Messari’s Co-founder and CEO Ryan Selkis stepped down from leading the firm, transitioning into a senior advisory role after a series of controversial tweets backing Trump’s candidacy and the massive public blowback that followed. His activity on X included “a public campaign that turned to fury at anyone who disagreed with him”. The company has quickly made sure to clarify that Selkis’ tweets are representative of his personal opinions, not the crypto company itself.
This episode isn’t the only instance where individuals in public companies have recently and publicly waded into politics. However, it’s unique in that it led to the removal of the party voicing the opinion from his position of power.
Elon Musk, for example, publicly announced his support for Donald Trump following his assassination attempt and pledged to donate $45 million to his campaign. Since announcing this, he has walked back the claim. He has further denied directly donating to Trump, asserting instead that the money will go to America PAC, which he co-founded with other notable Conservative donors. Some speculate that his actions may be in response to potential effects on Tesla’s stock price and brand. On July 23rd, the company reported a 45% drop in quarterly profits compared to the same period in 2023, suffering from a well-publicized dip in consumer sentiment related to his behavior over the past few years.
Additionally, the founders of famed Silicon Valley VC firm Andreessen Horowitz have also come out publicly in support of Donald Trump, citing a belief that Trump will be better for Tech startups.
These 3 signal a potential shift in the politics of the Tech sector, which is traditionally one of the most Democratic-leaning in the entire economy. Given the reactions, it remains to be seen whether more public corporate officers will come out in support of particular political candidates. No company wants another Bud Light situation.
As consumers and investors, it’s important to realize there’s a natural risk associated with public figures sharing their political views, in particular, how that relates to the publics perception of the company. What the Messari case especially shows is that what’s said publicly by a CEO poses a risk, not only for the entire company, but the CEO’s position within it. Losing the rest of your team means losing your job.
In a world where the money we spent or invested with companies didn’t make its way into a campaign fund, none of this would matter even half as much. With a little luck, and some carefully placed dollars, we can live to see that world.