UK officials are sounding the alarm over the growing risk of cryptocurrencies being used to secretly fund political campaigns.
Cabinet Minister Pat McFadden has called for stronger rules—or even a ban—on crypto donations, warning they pose a threat to democratic transparency.
The move follows concerns sparked by Reform UK’s decision to accept Bitcoin, making it the first British party to do so. While some praised the innovation, watchdogs cautioned that anonymous digital contributions could enable foreign interference and criminal activity.
A recent report by an anti-corruption group urged tighter oversight, pointing to the ease with which crypto can bypass traditional checks. McFadden and Labour MP Liam Byrne are pushing for more power and resources for agencies like the Electoral Commission to track these funds.
Globally, other governments are also taking action. Ireland has introduced measures to protect against hidden foreign influence, while in the U.S., states like Oregon and Michigan have banned crypto donations outright. But in countries with weaker controls—such as El Salvador, where Bitcoin is legal tender—the risk of manipulation remains high, prompting urgent calls for stronger international standards.
Alexander Zdravkov
Reporter at Coindoo
Alexander Zdravkov is a person who always looks for the logic behind things. He is fluent in German and has more than 3 years of experience in the crypto space, where he skillfully identifies new trends in the world of digital currencies. Whether providing in-depth analysis or daily reports on all topics, his deep understanding and enthusiasm for what he does make him a valuable member of the team.
Source: https://coindoo.com/uk-ministers-warn-crypto-donations-could-undermine-democracy/