Home
News
Earlier the commission in California state has put a ban on receiving political donations in cryptocurrencies.
A state regulator of California is reported to be looking to overturn the cryptocurrency donations ban to political campaigns that have been under effect since the year 2018. As per the agenda for May 2022, the Fair Political Practices Commission of California FPPC has a pre-notice discussion scheduled on Thursday regarding the use of cryptocurrencies for political contributions in the state. The Commission has said that it will be considering drafting amendments to its requirements of regulations according to which no contribution could be made or received in crypto assets.
In the month of September 2018, the Fair Political Practices Commission of California voted in favor to ban on both the sending and receiving crypto contributions for Californian state’s political campaigns because of the concerns regarding the donations that might be utilized to bypass the contribution limits along with prohibitions or by overseas entities for contributions to campaigns.
Communications director at FPPC, Jay Wierenga, said that the Commission is looking at the trends and trying to stay ahead of them while citing an opinion that was made in March in which its legal division said that a nonfungible tokens campaign to raise funds must count the while received the amount as reportable contribution.
Wierenga said that this had been on their radar since last year and crypto has grown in visibility and usage since 2019. So the Commission wants for its review to determine any changes that should either be made or not.
The current ban over the crypto contribution for political campaigns, as per the Wierenga, has not affected anyhow the candidates that are running for Californian office at federal level, but just state and local level. For instance, an elementary school teacher, Aarika Rhodes who’s running to represent the 32nd congressional district of California that Democrat Brad Sherman is currently holding. She has called openly for her supporters to make donations in bitcoin (BTC) through the Lighting.
Commissions and other governing bodies in the United States are responsible for checking whether to put bans on political donations in crypto for campaigns at state and local levels. The House of Representatives of South Carolina ethics committee said in the year 2018 that the campaign contribution of definition did not include cryptocurrency, and Colorado covered the number of donations made in crypto at the same levels as the fiat currencies.
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.
