Canadian Lawmakers Clear Path for Crypto Donation Ban

A proposed ban on cryptocurrency donations in Canadian politics has moved closer to becoming law after receiving cross-party support in the House of Commons. The legislation, known as Bill C-25, aims to prohibit the use of crypto for political contributions, citing concerns over the difficulty in tracing the origin of such funds. The bill will now proceed to a committee for further review and possible amendments. If passed, the ban would apply to all federal political entities, including parties, candidates, and third-party advertisers. Recipients of illegal crypto donations would be required to return or remit the funds within 30 days. The move comes despite the fact that crypto donations have been technically allowed in Canada since 2019, but have seen little use in practice. The development contrasts with the approach taken in the US, where crypto donations have been permitted since 2014. Meanwhile, the UK has also recently introduced a ban on crypto donations, citing concerns over the potential for digital assets to be used to conceal foreign interference in British politics.