We reported this week that the Federal Election Commission (FEC) would be reviewing a request made by a political organization that would allow donors to contribute to political campaigns with bitcoin of up to $100.
It is now being reported that the FEC has delayed a formal vote on the petition by Make Your Laws Political Action Committee (PAC), according to an article published by The Hill (2). However, commissioners of the oversight group say they are optimistic that a compromise could be met to permit a limited amount of contributions in the digital currency.
“I have serious concerns about allowing unlimited bitcoin political contributions,” said Vice Chairwoman Ann Ravel. “[Money] allows for anonymous and untraceable transactions, which would clearly undermine what is the most important, in my mind, purpose of campaign finance laws, and that is transparency and the disclosure of political spending. I am definitely unwilling to go that far.”
It had been previously noted that Ravel was skeptical of bitcoin donations to political campaigns because of the paucity of transparency. Despite her worries, she confirmed that she is willing to compromise and apply a $100 maximum in bitcoin donations.
Ellen Weintraub, a commissioner at the FEC, said the request “sounds like [something] a majority of commissioners would be prepared to say yes to.”
Although the bitcoin community and political candidates are seeking the official approval from the FEC, it should be made aware that accepting bitcoins is not illegal. Two of the most prominent American politicians seeking higher office this election season using bitcoin are Texas Republican Congressman Steve Stockman, who is looking to succeed John Cornyn as the next Texas Senator, and Texas Attorney General Greg Abbott, who is vying for the Governor’s Mansion.
There has been some opposition, though, including United States Attorney General Eric Holder and West Virginia Democratic Senator Joe Manchin, who urged Federal Reserve Chair Janet Yellen and Treasury Secretary Jack Lew to issue an outright ban against the virtual currency.
