Canada proposes total ban on cryptocurrency donations to political parties
- The Strong and Free Elections Act aims to prohibit political parties from accepting donations in cryptocurrency, money orders, and prepaid cards.
- Introduced by Steven MacKinnon, the bill seeks to prevent foreign interference in elections.
- If passed, penalties for violations could include fines up to $100,000 for corporations and double the amount contributed.
- A similar attempt to ban crypto donations failed in a previous legislative session.
- The UK government also announced plans for a moratorium on crypto donations following an independent review.
The proposed legislation reflects growing concerns over the use of cryptocurrency in political funding, with recommendations highlighting challenges in identifying contributors. The bill must pass through multiple readings and stages before becoming law.
If enacted, the ban would mark a significant shift in Canada’s approach to altcoin donations since they have been permitted since 2019. Violations could result in substantial penalties as outlined in the new proposal.
