Former senior Obama adviser guides lobbying and policy strategy to London cryptocurrency firm

Jim Messina, former President Barack Obama’s deputy chief of staff, is bringing some fierce lobbying guidance to a London-based cryptocurrency trading platform as the industry prepares for new regulations in the US and abroad.

The political veteran joined Blockchain.com’s board early last year, becoming a key adviser on government relations and policy strategy, chief business officer Lane Kasselman said in an interview with CNBC.

The crypto industry has increased lobbying around the world with potentially strict regulations on the horizon. The Biden administration released the framework for potential US crypto regulations earlier this month, including ways that could help fight fraud.

Kasselman described Messina as a critical guide to the company’s lobbying and general political efforts. He noted that Messina is not a registered lobbyist, but often advises their team on lobbying strategy.

“You could say we’re probably one of the most prolific companies when it comes to public policy engagement related to crypto globally, certainly in the US and Western Europe. That’s a direct result of Jim and his guidance on that front,” said Kasselman. Messina, who was Obama’s deputy chief of staff, is now CEO of consulting firm The Messina Group.

Although Messina is not a registered lobbyist, Messina Group has provided guidance on lobbying and other policy issues to Uber, Pillpack, Airbnb, Google, Delta Air Lines and Hutchison Whampoa, according to a list of clients on its website.

In addition to advising Obama, Messina’s firm has also advised powerful government officials, including former British prime ministers Theresa May and David Cameron, along with Mexico’s Enrique Peña Nieto, Argentina’s Mauricio Macri and Italy’s Matteo Renzi. Messina tweeted out pictures of him in the White House while Obama and former first lady Michelle Obama had their official portraits revealed.

Kasselman credits Messina with the company hiring Ian Mair as Blockchain.com’s head of US policy and Giles Swan to run its European policy. Blockchain.com, which has its US headquarters in Miami, was also among a group of crypto companies lobbying for elements of the Digital Financial Assets Law, which would tighten oversight of the industry in California where many US-based crypto firms are based. They “offered changes and feedback” after the bill was introduced, Kasselman said. He said their “main focus on the changes” was the bill’s “implementation period.”

If signed into law by Gov. Gavin Newsom, the bill would take effect in 2025 and require companies, such as digital asset exchanges, to obtain licenses through the state’s Department of Financial Protection and Innovation.

Kasselman also noted that Messina guided them on how best to lobby the European Parliament on its crypto regulation known as the Markets in Crypto-assets rules.

Kasselman said they won their latest battle with members of parliament and their staff as the EU decided “whether it would basically decide to make non-custodial wallets illegal,” he said. These types of digital wallets, which Blockchain.com promotes on its website, effectively act as an ultra-secure crypto savings account.

“It’s core to our business belief that we should give people control over their assets and protect them from any other potential interference. And Jim really made us think through ‘what’s that argument, what’s going to work in Brussels? What are these Members of Parliament concerned about and how do we deal with those concerns?’ Kasselman said. “And as a result of his advice, after working with heads of state across Europe for years, we made, I don’t want to call it a campaign, but kind of an argument that we went in and met with some of the ministers and Won.”

Swan, the company’s head of European policy, met with staff of EU financial services commissioner Mairead McGuinness in May to discuss so-called funds transfer regulation, according to a disclosure report. McGuiness has been critical of cryptocurrencies, saying digital assets were “one of the newest ways to launder money” in a tweet last year.