a16z Spends $1.49M on DC Lobbying as Rivals Wait

Andreessen Horowitz invested $1.49M in lobbying on crypto & AI rules while other top VC firms largely avoided DC, signaling a split in strategy.

In a move that’s really turning heads in the venture world, Andreessen Horowitz (a16z) just dropped a whopping $1.49 million on federal lobbying efforts in the first half of this year while most of their major competitors sat on the sidelines. This isn’t just casual D.C. schmoozing; we’re talking about targeted advocacy around some of the biggest tech policy fights right now, including crypto regulation, artificial intelligence governance, and startup antitrust issues. What’s wild is that other giant firms like Sequoia and Accel spent barely a fraction of that, if anything at all. a16z’s managing partner, Ben Horowitz, has been super vocal about this, saying, “If we don’t shape these policies, they will shape us and not in a good way. Sitting out isn’t an option.”

Breaking down where that cash is going, a16z isn’t just throwing money at generic lobbyists they’re funding a highly technical campaign. They’ve retained firms stacked with former congressional staffers and agency specialists to push for clearer digital asset frameworks, like the FIT for the 21st Century Act, which aims to create tailored rules for crypto exchanges and stablecoins. They’re also deep in the weeds on AI, advocating for R&D tax incentives and liability protections for open-source AI models. What’s really interesting is how they’re structuring their messaging: they’re framing pro innovation policies as national competitiveness issues, especially against Chinese tech expansion. It’s a nuanced, data-driven approach that’s way beyond the typical “regulation bad, innovation good” talking points.

This aggressive strategy highlights a huge philosophical split in Silicon Valley. Some investors think VCs should stay far away from politics and focus purely on returns, but a16z is betting that regulatory clarity is actually a competitive advantage especially in buzzy but legally fuzzy areas like web3 and AI. One D.C. tech policy advisor put it like this: “a16z isn’t just playing defense; they’re playing the long game. They’re building policy moats around their portfolio.” And it’s working their team now gets meetings on Capitol Hill that other VCs can’t. Whether this spends pays off remains to be seen, but one thing’s clear: in the battle for tech’s future, a16z isn’t waiting around for someone else to write the rules.