Colorado Propound Using Cryptocurrency for Political Campaigns
As per the Denver post, political candidates in Colorado could very soon accept digital currencies like Bitcoin for their political campaigns.
Wayne Williams, the Secretary of State made the proposition for permitting donation of cryptocurrencies in political crusades.
The US Federal Election Commission (FEC) has effectively affirmed the use of Bitcoin as in-kind donations for political crusades, which gives the campaign 10 days to exchange the given digital currency into their crusade’s official repository.
Donations in crypto would be dealt with as monetary donations, the worth being fixed at the time of donations.
According to Denver post, Colorado is probably going to take follow the FEC’s assignment of digital money being an in-kind offering, which would return or discount contributions back to the donators if the estimation of the given cryptocurrency surpasses the aggregate limit.
While such offerings might be suitable for the donator, the deputy secretary of Colorado, Suzanne Staiert said:
“It’s going to be an accounting problem, potentially, for campaigns who want to use it.”
Staiert additionally included that the “FEC is doing it now, so we are simply coming for the ride.”
Colorado is not the first U.S state to enable offerings for political campaigns in cryptocurrency. The first state to do the same was New Hampshire, which started enabling candidates to accept contributions in the form of cryptocurrencies in the year 2014.
Not long ago, it was reported that a piece of state enactment to make rules for identifying crypto tokens was voted down in the Colorado state Senate, for some apparent as a hit to blockchain development in the state.
Cryptocurrencies are the upcoming form of currency and their impact on the digital market is already very huge. Considering this, it doesn’t seem very far when cryptocurrencies will be used to make all the transactions and payments.