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Americans Can Now Make Political Donations Using Bitcoin

May 9, 2014, 8:30 PM
Shutterstock_177638900

What's the Latest Development?

The US Federal Election Commission (FEC) announced this week that it has approved Bitcoin contributions to political action committees (PACs) as well as the purchase of Bitcoin by PACs using existing funds. In response, at least one congressman, Jared Polis (D-CO), put up a special donation page "almost immediately." No limitations were set, but some PACs are accepting contributions of up to US$100. They are forbidden from buying goods or services in Bitcoin; it must first be converted into dollars and deposited into a bank account.

What's the Big Idea?

The announcement represents yet another tentative governmental step towards the cryptocurrency, since it comes a few months after the Internal Revenue Service (IRS) offered Bitcoin guidelines to taxpayers for the first time. Notably, Super PACs have no limits on how much money they can receive, which could mean a future in which Bitcoin fundraising plays a much larger role. Meanwhile, FEC chairman Lee Goodman thinks the standard federal cap on donations should apply regardless of whether the money is real or virtual.

Photo Credit: Shutterstock.com

Read it at Digital Trends

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Americans Can Now Make Poli...

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