North Carolina has stopped electoral candidates in the state from receiving bitcoin donations during campaigns including other cryptocurrencies. This declaration is contained in a response from North Carolina State Board of Elections Campaign Finance Office to Emmanuel Wilder, a Republican candidate going in for a set in the state’s legislature.
At the beginning of the year, Emmanuel Wilder had questioned the State Board regarding whether he could receive bitcoin donations during the campaign including other cryptocurrencies. In his submission, he proposed a structure for the Board for use in assigning a value to the unstable asset class.
The Board addressed its rejection of his request in a letter from its executive director, Kim Westbrooks Strach. The rejection is based on the fact that the state’s campaign finance regulations set monetary restrictions in U.S. dollars. The Board is of the view that cryptocurrencies are not a trustworthy value.
A piece from the letter states:
“We do not have the confidence that we could adequately regulate contributions to a political campaign in North Carolina in the form of cryptocurrency.”
In his response, Wilder who was somewhat dissatisfied but confident noted:
“Blockchain and other technologies hold the ability to improve how business and public institutions operate day to day…Although it might not be today, there will be a day when this technology will have a place in the political process.”
Several political commentators are of the opinion that the apparent privacy offered by bitcoin and other cryptocurrencies is a major consideration and a concern that could likely weaken campaign finance rules. Recently, Jen Jones, a spokesperson for Democracy North Carolina, a campaign finance regulator recommended the Board to keep this issue in mind.
“[The board should consider] whether it’s possible for candidates to receive campaign donations via cryptocurrency while also complying with state disclosure requirements.”