Liberal donors, once a major financial force in opposing Donald Trump, are now pulling back on contributions, leaving progressive groups struggling to stay afloat. Disillusioned with the Democratic Party’s leadership and worried about potential retaliation from Trump, donors are tightening their wallets, weakening efforts to counter the new administration.
During Trump’s first term, small-dollar online donations surged, fueling resistance. This time, however, fundraising has slowed dramatically as many liberal voters and wealthy donors hesitate to contribute. Major charitable foundations that once supported progressive causes—such as voting rights, LGBTQ+ equality, and immigrant protections—are now scaling back, bracing for Republican-led investigations.
A Climate of Fear and Uncertainty
Some of the country’s most influential Democratic donors have paused their giving, citing a lack of vision from party leaders and concerns about retribution. According to reports, some former Democratic funders are even exploring ways to align with Trump.
Silicon Valley billionaire Jeff Skoll, a longtime Democratic donor, admitted feeling pressured to side with Trump. He recently posted a photo with Trump at the inauguration and met with Senate Minority Leader Chuck Schumer to discuss potential backchannel communications with the White House. Skoll noted that many in his circle fear funding opposition efforts.
“There are people who were absolutely against Trump—Never Trumpers—who now worry they’ll be targeted and even forced to leave the country,” Skoll said. “For those who want to resist him, it may take time to find the courage.”
Progressive Organizations Struggle to Stay Afloat
Unlike 2017, when anti-Trump activism fueled a flood of donations, today’s political climate is leading to cutbacks. Many progressive organizations are downsizing or shutting down entirely due to financial struggles.
Groups supporting LGBTQ+ rights, gender equality, and other progressive issues have slashed budgets and laid off employees. End Citizens United, an organization advocating for campaign finance reform, recently eliminated six senior positions. Run for Something, a group supporting liberal down-ballot candidates, reduced its staff by 35% last year, and GLSEN, an LGBTQ+ student advocacy group, laid off 25 employees.
Even the most prominent Democratic think tanks are feeling the strain. The Center for American Progress, a major policy organization, cut 22 jobs—8% of its workforce. The Human Rights Campaign, the nation’s largest LGBTQ+ advocacy group, eliminated 20% of its staff.
Fear of Retaliation from Trump
Many Democratic donors worry about political and legal consequences for funding progressive causes. Some are hiring legal counsel, moving assets overseas, or shifting their foundations to Democratic-led states. Others are opting to give anonymously, which complicates funding efforts for Democratic super PACs that require donor disclosures.
Reid Hoffman, billionaire LinkedIn co-founder and a major Democratic donor, has expressed concerns about retaliation from Trump. He recently stated there’s a “greater than 50% chance” of facing repercussions for supporting Kamala Harris’s campaign. His reluctance to continue funding liberal causes mirrors a growing trend among high-profile donors.
Calls for a New Democratic Strategy
At a recent gathering of the Democracy Alliance, a major liberal donor network, attendees were advised on ways to shield themselves from lawsuits, audits, and investigations. Some donors are also frustrated with what they see as wasted spending in the 2024 election cycle and are demanding clearer plans from Democratic leaders before resuming contributions.
John Morgan, a Florida-based Democratic donor, criticized the party’s tactical failures. “For me, it’s going to be giving to people, not party,” he said. “The DNC learned nothing from the last election.”
While some donors are still backing Democratic initiatives, they are placing stricter conditions on their funding. George Soros’s team recently convened with major donors and Democratic lawmakers to discuss the progressive media landscape and future investments. However, others remain cautious, waiting for Democratic leaders to present a compelling strategy before fully committing their financial support.
As the political landscape shifts, Democrats must not only regain donor confidence but also navigate a climate of fear and uncertainty created by Trump’s return to power. Whether they can rally financial backing in time for key battles ahead remains an open question.