The UK bans the use of cryptocurrency to fund political parties
This is according to the BBC.
The decision was a response to Philip Rycroft’s report on foreign financial interference. In addition to crypto assets, the government is capping annual contributions from British citizens living abroad at £100,000 (approximately $133,000).
The reason for these measures is the anonymity of crypto transactions, which allows the origin of funds to be concealed and checks to be circumvented.
The Department for Housing, Communities and Local Government emphasised that a lack of transparency paves the way for illegal political funding and undermines confidence in the electoral system. The ban will remain in place until a robust regulatory framework for this sector has been developed.
The new rules will apply to donations of any amount received from today onwards. Parties will have 30 days to return such funds, after which criminal liability will apply for violations.
The relevant amendments will be incorporated into the draft law on the representation of the people and will apply to all levels of elections in the country.
