A cross-party parliamentary committee in the United Kingdom has highlighted significant concerns regarding cryptocurrency donations to political parties, labeling them as posing an “unnecessary and unacceptably high risk” to political integrity. The Joint Committee on the National Security Strategy released its report on Wednesday, recommending an immediate halt on such donations until improved regulatory measures are established.
The committee proposed amending the Representation of the People Bill to enforce a moratorium on crypto contributions ahead of the next general election, expected by August 2029. Additionally, it called for the formation of a Political Finance Enforcement Unit and suggested reducing the threshold for declaring political donations from £11,180 ($14,900) to £500 ($668).
Concerns about foreign influence and state threats were underscored in the report, which referenced examples from other jurisdictions, including Ireland, that have prohibited such donations to mitigate risks. The need for stricter controls has gained urgency amid increasing scrutiny of crypto's role in UK political funding.