Colorado is set to join the ranks of American states that legalized the collection of donations in bitcoin for political campaigns. According to the local media, the state is currently considering a bill authorizing contributions in cryptocurrencies.
Secretary of State Wayne Williams made this offer last week. According to the details of the project, donations in bitcoin will have to be made in accordance with the same rules as regular contributions. Because of the volatility of the currency, the exact amount of such donations will be determined at the time of the deposit.
The state government said it welcomes public opinion on this issue. Anyone can contact the office of the secretariat of Colorado before May 23, to make their suggestions.
Donations are an integral part of the American political landscape and sometimes play a big role in political events. Bitcoin and cryptocurrencies can really influence political campaigns. The Federal Electoral Commission (FEC) in 2014 approved cryptocurrencies as a way of financing election campaigns, deciding to classify contributions such as “non-monetary donations”.
The state of New Hampshire was the first to approve this trend in 2014 when Republican Andrew Hemingway became the first US politician who agreed to accept donations in Bitcoin. Rand Paul also received donations in bitcoin in his presidential election race in 2015.
To date, the largest donation in the cryptocurrency for the political campaign has become 0,244 BTC (4 500 dollars), received by Austin Petersen from Missouri.
There are those who oppose the adoption of cryptocurrency for the financing of political campaigns. Issues related to the anonymity and risk of “dirty money” being channeled into politics are headed by a list of objections to this trend. The lack of full transparency in crypto-transactions, apparently, contradicts the philosophy of political donations in America. There is also a volatility problem that can complicate fundraising. Even Suzanne Styert, deputy secretary of the state of Colorado, agrees. She noted:
It’s going to be an accounting problem, potentially, for campaigns who want to use it.