The British government in the United Kingdom (U.K.) is considering banning cryptocurrency political donations over fears of foreign interference and influence.
Senior members of parliament (MPs) are calling on British Prime Minister Keir Starmer to ban crypto donations to political parties, warning these could be used by hostile foreign actors to influence elections and domestic affairs.
In an open letter, seven committee chairs urged Starmer to issue a clear ban in the government’s elections bill, preventing political donations using Bitcoin (BTC) and other crypto.
The MPs argue that crypto poses a growing threat due to its traceability issues and potential use by foreign states looking to interfere in British politics.
“Crypto is opaque, hard to trace, vulnerable to foreign interference & a growing risk to democratic integrity,” reads the letter to Starmer.
The U.K. currently allows cryptocurrency contributions as long as they meet the same eligibility rules as other financial donations.
The right-wing political party “Reform U.K.” is the most prominent one accepting cryptocurrency donations.
The push for a ban comes ahead of a broader review into foreign financial influence in British elections and politics.
A government spokesperson responded to the letter calling for a ban on crypto donations by saying that defending U.K. democracy from foreign interference is a top priority.
Bitcoin, the largest cryptocurrency by market capitalization, is currently trading at $90,500 U.S.
