Texas Ethics Commission proposal to allow cryptocurrency for political contributions

The Texas Ethics Commission has proposed a new regulation regarding political contributions in cryptocurrency, allowing officials and politicians to accept donations in Bitcoin and other cryptocurrencies. According to the proposed regulation, candidates, public officials, and political committees are permitted to receive cryptocurrency donations, which includes all types of cryptocurrencies.

The Texas Ethics Commission has proposed new regulations regarding political contributions in cryptocurrency, allowing officials and politicians to accept donations in Bitcoin and other cryptocurrencies. According to the proposed regulations, candidates, public officials, and political committees would be allowed to accept cryptocurrency donations, encompassing all types of cryptocurrencies.

If approved, cryptocurrency donations and contributions would need to be reported as in-kind donations or investments, rather than as currency itself. This means that cryptocurrencies cannot be used directly for political or government activities and would need to be liquidated before spending the proceeds.

However, the commission also mentioned that the new regulations would not require filers to liquidate their held cryptocurrencies within any specific time frame. Instead, filers would report the value based on the market value at the time of receipt, considering the high volatility of cryptocurrencies.

The proposal also emphasizes that individuals making political donations in cryptocurrency must ensure they are not foreign nationals.

Prior to this, Texas has approved several measures to promote the adoption of blockchain and cryptocurrencies. Bills such as House Bill 1576 and 4474 have been signed into law by Governor Greg Abbott, allowing for the creation of blockchain working groups and amending the state's business laws to recognize cryptocurrencies. Additionally, the Texas Municipal Firefighters' Retirement System recently added Bitcoin and Ethereum to its investment portfolio.

This article is authorized to be reprinted from Horizon News Network