UK weighs permanent crypto donation ban
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- UK Labour lawmakers are considering making a temporary ban on crypto political donations permanent.
- The proposal follows Nigel Farage's resignation and scrutiny of millions of pounds in crypto-linked donations.
- Lawmakers are expected to debate the proposed changes to political donation rules next week.
UK Labour lawmakers are considering a permanent ban on cryptocurrency donations to political parties following Nigel Farage's resignation and scrutiny over crypto-linked contributions.
The proposal would extend a temporary moratorium introduced in March after reports that Farage accepted millions of British pounds in gifts from figures linked to the crypto industry.
“Amendments to the representation of the people bill which my colleagues and I have tabled are vital safeguards against the wider threat that’s seen $268 million come flooding in to build a whole media political complex behind populists in Britain,” said Labour MP Liam Byrne.
Farage said he had done “nothing wrong” and confirmed the UK parliamentary standards commissioner is investigating the donations, including a US$6.7 million gift from crypto billionaire Christopher Harborne and support from George Cottrell.
UK lawmakers are expected to consider amendments to the donation rules next week, while Farage's resignation has triggered a by-election in Clacton.
Prime Minister Keir Starmer described Farage's resignation as a “desperate stunt”, while major political parties reportedly do not plan to contest the by-election.
Labour leadership candidate Andy Burnham has previously supported Web3 development in Greater Manchester and could influence future cryptocurrency policy if elected the party's next leader.