Congressman Josh Gottheimer was known as Republican President Donald Trump’s favorite Democrat in the House of Representatives, but now he is seeking to lead the Democratic Party as a candidate for governor in New Jersey.
In April, Colleen O’Dea reported that Gottheimer had twice the cash of House Democratic leader Hakeem Jeffries, four times that of House Speaker Mike Johnson, and more than four times as much as Andy Kim, who was elected as New Jersey’s US Senator.
According to OpenSecrets, approximately 16% of Gottheimer’s contributions came from PACs while over $7 of every $10 raised came from large individual contributions. Less than 10 cents of every dollar came from individual donors giving less than $200.
Gottheimer, supported by the pro-cryptocurrency super PAC Fairshake, received the largest independent expenditure in a New Jersey House race.
Gottheimer’s recent comments on drone regulation are a curious contrast to his laissez-faire approach to cryptocurrency—a stark contradiction that raises serious questions about his priorities when it comes to protecting New Jersey families and the broader public.
“We can never play it too safe when fighting to protect Jersey families, especially from new technologies that have great potential but also pose certain risks,” Gottheimer said, expressing his concerns about drones.
His desire to regulate “random, unidentified drone activity” to prevent New Jersey from becoming the “Wild West” of aerial technology is understandable on the surface.
After all, drones, while full of potential, could be used recklessly or maliciously. One might expect such cautious language from a representative whose first priority is the safety and security of his constituents.
But the same congressman who warns of the dangers of unregulated drone activity appears to have a very different view when it comes to cryptocurrency—a far more volatile and risky financial technology.
Just recently, Gottheimer celebrated the passage of the Financial Innovation and Technology for the 21st Century Act (FIT21), a bill he helped negotiate that seeks to clarify regulations for digital assets.
His fervor for this legislation was grounded in the belief that the U.S. must lead in cryptocurrency innovation and foster job creation in this space.
Gottheimer’s rhetoric on the FIT21 bill is nothing short of glowing: he touts the legislation’s provisions for transparency and consumer protection, while emphasizing that it will allow innovators to flourish in the U.S. rather than offshore. But the reality of cryptocurrency is starkly different.
Among the potential problems with cryptocurrency are its extreme price volatility, complete lack of intrinsic value, potential for scams and market manipulation, high energy consumption used to process transactions, weak regulatory oversight, and the risks of hacking or losing private keys, making it a highly speculative investment with no guaranteed returns and significant peril for users.
This “innovative” industry, often compared to the Wild West in its unregulated, speculative nature, has been marred by volatility, fraud, and scams that have cost countless investors their savings.
While Gottheimer champions it as the future of finance, his enthusiasm seems detached from the very real danger it poses—risks that he is seemingly unwilling to acknowledge when it comes to digital assets.
In fact, the cryptocurrency industry has long been under scrutiny for its lack of consumer protections.
The Securities and Exchange Commission (SEC) has ramped up enforcement against fraudsters, filing lawsuits against companies like Coinbase, which only highlights the increasing need for tighter oversight.
Meanwhile, proponents of regulating crypto as a commodity, overseen by the Commodity Futures Trading Commission (CFTC), aim to remove further barriers to potentially harmful and dishonest practices.
This is not an industry teeming with benevolent entrepreneurs; it is an industry that has repeatedly failed to safeguard its participants.
Yet, Gottheimer, a supposed champion of consumer protection, seems comfortable giving it a green light, prioritizing innovation over investor safety.
When Sam Bankman-Fried, the founder and former CEO of cryptocurrency exchange FTX, made about $40 million in political donations in the 2022 election, among the recipients was Jersey Values PAC, which is associated with Gottheimer.
To make matters worse, Gottheimer’s rhetoric on drones, which are far less risky in comparison to the speculative frenzy of cryptocurrency, is far more cautious. He warns against the threat of “random, unidentified drone activity” and emphasizes the need for regulation to ensure public safety.
But with cryptocurrency, his concern about risk seems non-existent. The contrast is glaring.
Shouldn’t he be just as concerned about the safety and protection of everyday people from the dangers of an unchecked digital currency system as he is about unregulated drone activity?
The glaring inconsistency between Gottheimer’s positions on drones and cryptocurrency calls into question his judgment and priorities. On one hand, he advocates for stringent oversight of emerging technology that poses a minimal threat to public safety.
On the other, he is eager to embrace an industry riddled with scams, financial instability, and the potential to harm unsuspecting investors. New Jersey families deserve better.
They deserve a representative who doesn’t just play politics with technology, but who consistently advocates for their security, whether in the skies or in the digital marketplace.
Gottheimer’s contradictory approach to technology regulation is a stark reminder that protecting constituents requires more than just passing bills with catchy names—it requires a thoughtful, consistent commitment to safety, transparency, and accountability.
It’s time for him to reconcile his contradictory stances and truly prioritize the well-being of the people he represents.
Until then, New Jersey families are left wondering whether their congressman is more interested in fostering a “Wild West” of financial speculation than in securing their future.