Canadian Lawmakers Advance Bill to Prohibit Crypto Donations in Politics

A proposed ban on cryptocurrency donations in Canadian politics has taken a significant step forward, garnering cross-party support and minimal opposition. The Strong and Free Elections Act, also known as Bill C-25, has passed its second reading in the House of Commons and will now undergo further review in committee. The legislation aims to prohibit crypto donations, along with other difficult-to-trace funding methods, such as money orders and prepaid payment products. If enacted, the ban would apply to all federal entities, including registered parties, electoral district associations, and third-party advertisers. Recipients of illegal crypto donations would be required to return or remit them to the Receiver General within 30 days. The bill's progression comes after Canada's Chief Electoral Officer recommended a prohibition on crypto donations, citing concerns over pseudo-anonymity and the difficulty of verifying contributors' identities. The move is in contrast to the US, which has permitted crypto donations since 2014, and follows the UK's recent ban on crypto donations in politics.