California to Soon Permit Political Cryptocurrency Donations
Public office officials and candidates may soon be allowed to accept cryptocurrency donations in California. The commission for Fair Political Practices gathered today, the 16th of August, to address several complications related to elections the state is currently facing, notably whether or not those running for political and public office can be allowed to accept digital currencies that are donated towards their political campaigns.
Yay or Nay?
As of now, Commissioners have not yet decided on whether any of the applied proposals will be adopted or not, stating that currently, all details are not yet fully understood. Three years ago, in 2014, the FEC ruled that laws regarding federal elections should enable candidates to acquire donations of a form in crypto such as Bitcoin, the leading cryptocurrency.
On the 16th of August, Chairwoman Alice Germond stated that cryptocurrencies required a definition before anything else, adding that she could consider Bitcoin a currency as opposed to US money although she looks to further understand more to come to her own conclusion on the matter.
Nicolas Heidorn, policies and legalities director at California Common Cause, a non-biased political support group, said that cryptocurrencies that are donated should be permitted until more research and a decision by the group has been made. Regardless, the commission shut down this notion. Allison Hayward of the Commission refused the notion of fully barring any cryptocurrency donations and stated that before making any decision on her behalf, she would like to further look into the subject.
According to her, digital currencies are developed to provide anonymity and privacy although DLT might prove to be an incredible asset in monitoring and transparency. She adds that she would not like to hinder the progress of DLT and its benefits in any way. Brian Hatch and Frank Cardenas, two other Commissioners, have rejected the idea of a full ban although, in regards to Commissioner Hatch, fraud is a massive issue. He referred to one candidate that essentially lied about the source of his cryptocurrency donation and claiming it was donated from within California although it was originally donated from elsewhere.
In regards to 2018’s midyear elections, a joint agreement by the commission was decided on that $100 was the maximum amount for each donation as the commission continues researching the topic throughout next year.