As digital currencies continue to gain traction in the real world, seemingly everyone wants to be a part of this virtual movement. Politicians are no different, realizing that crypto could provide them with that cash injection their campaign needs.
One of crypto’s major advantages, which is anonymity, also seems to be its biggest drawback for the Wisconsin Ethics Commission. According to The Kansas City Star, the commission is however open to discussing the possibility of allowing political contributions to be made in cryptocurrency.
Crypto Donations are Already Happening
Last year saw the state of Missouri and Senate hopeful, Austin Petersen, accepting Bitcoin contributions. Other politicians included New York’s Patrick Nelson, Arizona’s Kelli Ward, and California’s Brian Forde.
Even though the powers that be in Washington DC are on board the crypto contribution train, other states are still apprehensive. Anonymity is, of course, a factor, but so is the volatility of the crypto market.
Last year saw Bitcoin reach amazing heights of $20k, and while it has gone down in value since then, it is slowly clawing its way back to the top. At the time of writing, it was trading at just under $9,200.
Wisconsin Not Yet Convinced
In addition to untraceable donations and unpredictable prices, the Wisconsin Ethics Commission is also concerned about the lack of concrete regulations. Members are also unsure as to whether crypto donations should be seen as cash- or in-kind contributions. The latter would be seen as the donation of an asset in lieu of cash.
The commission is also worried about how the value of each contribution will be assessed due to the characteristically unstable market…